Calculate Your Freelance Profit & Margins
Free profit calculator for freelancers and small businesses. Enter revenue, costs, and tax rate to get gross profit, net profit, and margin percentages.
Financial Inputs
Total money earned this period
Direct costs: subcontractors, materials, tools used to deliver
Overhead: software, marketing, admin, rent
Profit Breakdown
Net Profit
$3,750 (37.5%)
After all costs and taxes
Gross Profit
$7,000 (70.0%)
Revenue minus direct costs
Operating Profit
$5,000 (50.0%)
After COGS and OpEx, before tax
Tax Owed
$1,250
At 25% rate
Gross margin benchmarks: Freelancers 60–80%, Agencies 30–50%
Net margin benchmarks: Healthy freelance 30–50%, Agency 10–20%
More Variations
Frequently Asked Questions
What is the difference between gross profit and net profit?▾
Gross profit is revenue minus direct costs (COGS). Net profit is what remains after subtracting all expenses and taxes from gross profit.
What is a good profit margin for a freelancer?▾
A net margin of 30–50% is considered healthy for freelancers. Agencies typically run 10–20% net margin due to higher overhead.
What counts as COGS for a freelancer?▾
Direct costs tied to delivery: subcontractors, stock assets, project-specific software, or any tool/service billed only when you have a client.