Freelance Project Profit Margin Calculator

Revenue alone does not tell you whether a freelance project was worth repeating. Subtract direct delivery costs to see project profit, then compare that profit with both revenue and the hours consumed.

Use margin and profit per hour together

Margin shows how much of project revenue survives direct costs. Profit per hour reveals whether a seemingly profitable engagement consumed too much delivery time compared with alternatives.

Use the result before discounting

Review completed projects to establish a baseline. Before discounting similar work, model how the lower price changes margin and profit per hour rather than looking only at top-line revenue.