Freelance Savings Calculator
Calculate how much to set aside from every payment — for taxes, health insurance, retirement, and an emergency buffer. Free, no sign-up.
Income
What you invoice clients — before any VAT/GST.
Software, hardware, workspace, accountant fees.
Effective rate on net profit. 25–30% is a common starting point.
Coverage
Your Monthly Savings Plan
How to set aside the right amount
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Enter your projected annual freelance income
Use your realistic expected gross income for the year — current run rate × 12, or a conservative estimate if your work is irregular. Don't use aspirational numbers; the calculation works best with the lower bound of your range.
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Set your tax rate
Typical combined rates: US freelancers 25–35 % (federal + state + self-employment tax), Europe 30–45 % (income tax + social security). If your accountant gave you a specific rate, use that — otherwise use 30 % as a safe default for medium-income freelancers.
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Add health insurance and retirement contributions
In the US: budget 10–20 % of income for individual health insurance plus retirement contributions (SEP-IRA, Solo 401(k)). In Europe with private insurance: 15–25 % combined for health + pension. Public-insurance freelancers (e.g. KSK in Germany) may have lower rates.
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Add an emergency fund buffer
Target 3–6 months of business + personal expenses as an emergency fund. The calculator computes the monthly savings rate needed to hit your target within 12–24 months. If you don't have any savings yet, prioritise this buffer before optimising for retirement contributions.
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Transfer the savings buffer per payment received
Every time a client invoice is paid, transfer the calculated percentage to a separate high-yield savings or money-market account. Treat this as non-discretionary — if you mix it with operating cash, the money disappears. Many freelancers use Wise, Mercury or Kontist sub-accounts for this.