How to Calculate Your Hourly Rate for Consulting (Proven Formula)
If you’re starting a consulting business and guessing your hourly rate, you’re probably undercharging — or setting yourself up for burnout.
In this video, I break down exactly how to calculate your hourly rate for consulting, using a proven formula I’ve used while building 7- and 8-figure consulting firms. I’ll walk you through the math, real-world examples, and how to confidently explain your rate to clients without sounding defensive or unsure.
Hourly pricing gets a bad reputation — but early on, it’s one of the smartest and safest ways to price your services. Especially when you don’t yet know how long projects really take.
What you’ll learn in this video:
- How to calculate your _minimum viable hourly rate_ (step by step)
- Why hourly pricing protects new consultants from underpricing
- How to factor in non-billable time, expenses, profit, and taxes
- How to present hourly pricing without scaring clients
- When hourly pricing breaks down — and when to move on to other pricing models
I also share real examples from my own consulting journey, including how and why we raised our hourly rate from $150 to $250 — and what changed because of it.
If you want to stop guessing, stop undercharging, and start pricing like a professional consultant — this video will give you the foundation.
