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Day Rate Calculator
Work out the day rate you need to charge as a UK tradesperson, once overheads, tax and the days nobody pays you for are taken into account. Estimates only — not tax or financial advice.
Van, fuel, insurance, tools, phone, software, accountant.
Take off holidays and likely sick days.
Quoting, travelling, admin, merchant runs.
Rough allowance on your income — check your own position.
Cover for quiet weeks and replacing tools.
Indicative day rate
£296.80
- Hourly equivalent (8-hour day)
- £37.10
- Must cover per year
- £58,025.00
- Working days a year
- 230
- Billable days a year
- 196
Price your jobs properly with Tradie Business Base
Save your day rate, overheads and margin once, then price any job in seconds and send it straight out as a quote.
How to calculate your day rate
Three numbers set your day rate: what you need to earn, what the business costs to run, and how many days you can actually charge for. Divide the first two by the third and you have your floor.
Anything you charge below that figure is money taken out of your own pocket, however busy the diary looks.
Why your rate isn't salary ÷ working days
A day rate has to carry everything an employer would normally cover, plus all the days nobody pays you for. Before you divide, make sure your overheads figure includes the running costs that are easy to forget.
- Holidays, bank holidays and sick days you still need to live through.
- Non-billable days: quoting, pricing, chasing payments and paperwork.
- Travelling between jobs and to merchants.
- Tools, replacements, consumables and calibration or testing.
- Public liability and other insurance, plus any trade scheme or certification fees.
- Vehicle costs: finance or depreciation, servicing, MOT, tyres and fuel.
- Marketing, website, phone, software and accountancy.
Using the rate in real quotes
Your day rate is the labour input to a job price, not the price itself. Materials with a markup, travel, equipment and your profit margin all sit on top. Review the rate at least once a year and whenever fuel, materials or insurance move sharply.
Common questions
How do I calculate my day rate?
Add the income you want to take home to your yearly business overheads, add a buffer for tax and quiet periods, then divide by the number of days you can genuinely charge for. That figure is the minimum you can work for without going backwards.
Why isn't my day rate just my salary divided by working days?
Because not every working day is billable and not every pound you invoice is yours. Holidays, sickness, quoting, travelling and admin eat into the year, while the van, insurance, tools, fuel and tax come out of what you charge.
How many billable days should I use?
Most self-employed tradespeople land between 180 and 220 genuinely chargeable days a year once holidays, illness, quoting, buying materials and paperwork are removed. Using 250 or more is the most common reason a day rate comes out too low.
Should the day rate include tax?
Your rate needs to cover the tax and National Insurance you will owe on your profit, so include a realistic allowance. The calculator's buffer is a rough placeholder — check your own position with an accountant or HMRC's guidance.
General guidance for UK trades, not tax, legal or financial advice.
Learn more
Learn more about setting your day rate
Not sure how many billable days to use, or which overheads to count? The full guide walks through it step by step.
Read: How to Calculate Your Day RateRelated tools
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