Freelance business

Day Rate

Definition

Rate charged by a freelancer for a day of work (7 h in France). The day rate includes net pay, social contributions, overhead costs and margin.

Detailed explanation

Calculating a fair day rate is a pillar of freelance profitability. Method: desired annual net income / (billable days × utilisation rate). A freelancer targets €10,000 net per month → €120k per year. Social contributions and taxes ≈ 50% → €240k in revenue required. Annual billable days ≈ 180 (excluding leave, admin, prospecting). 240,000 / 180 = €1,333 excl. tax per day. Market ranges 2026: junior €200-350, confirmed €400-600, senior €600-900, niche expert €900-1,500. The effective day rate (revenue actually billed / days actually worked) is often 15-25% lower than the advertised day rate because of non-billable time (internal meetings, rework, prospecting).

Concrete example

Senior day rate for full-stack Rails development in Paris: €650. If 15 days billed per month × 11 months = €107k annual revenue. After contributions and taxes: €53-58k net in a SASU.

Common mistake

Comparing your day rate to an employee's by dividing salary by 220 days. A freelancer has no paid leave, no employer health insurance, no unemployment cover, no executive pension. The day rate must cover the equivalent of 15-20 non-working days and 1 month of overhead costs.