Calculator · Freelance Rates
Blended Team Billing Rate Calculator
Weight two role billing rates by actual planned hours and compare the resulting fees with the included hourly delivery costs.
Formula and cost boundary
Blended rate = total quoted fees / total delivery hours; delivery margin = (fees − included delivery costs) / fees
Hours weight the rates; averaging the two posted rates is generally wrong when their hours differ. The hourly cost inputs are your chosen delivery-cost rates, not assumed pay rates or statutory employer charges. The resulting margin covers only included delivery costs and does not automatically equal company net profit. At least one role must have positive hours. Free delivery can have a dollar loss with an undefined revenue margin. Quoted fees also differ from invoices and collected cash when write-offs or payment delays occur.
Worked example: Unequal role hours
The following inputs are hypothetical values for checking the calculation. They are not recommended prices, wages, margins or platform charges. Keep the units and period shown in each label when replacing them with your own records.
| Input | Example value |
|---|---|
| Role A delivery hours | 30 hours |
| Role A billing rate | $120/hour |
| Role A included delivery cost | $60/hour |
| Role B delivery hours | 20 hours |
| Role B billing rate | $80/hour |
| Role B included delivery cost | $40/hour |
| Result | Calculated value |
|---|---|
| Weighted billing rate | $104/hour |
| Quoted fees | $5,200 |
| Fees less included delivery costs | $2,600 |
| Margin after included delivery costs | 50% |
Using the result
Save the input set alongside the source date of each quote or cost record. Review the cost boundary before comparing this result with another report: a contribution measure may exclude overhead, and a cash measure follows payment dates. Display rounding does not change the underlying assumptions. Recalculate when an input changes; the tool does not predict future sales or collections.
Are any rates supplied automatically?
No. Numeric fields are your inputs. Example values demonstrate arithmetic only. Check your contracts and records for the amounts that apply to your business.
Why might a result be unavailable or negative?
A missing denominator or inconsistent inputs can make the calculation undefined. Those combinations are rejected or labeled explicitly. A valid negative result remains visible because it may identify a loss or cash shortfall.
Method reference: OpenStax: Operating Budgets. Checked October 22, 2026. Capacity, sales and delivery-cost budgets; no market rate assumptions.
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