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How to use
- Enter Client revenue.
- Enter Hours for client.
- Calculate, then review the period, scope and assumptions before using the result for pricing or planning.
How it is calculated
Example
Client revenue of 20,000 across 160 hours gives realized revenue of 125 per hour allocated to that client.
Important notes
If the client has direct costs such as contractors or dedicated tools, revenue per hour is not profit per hour; include costs when comparing clients.
Worked examples and interpreting results
| Case | Calculation | Result |
|---|---|---|
| Revenue/hour | 20000 ÷ 160 | 125 |
| Client revenue | 20000 | 20,000 |
Frequently asked questions
Should clients be compared only by this number?
No. Also consider stability, expansion potential, service cost, ease of work and collection risk.
Is the result a mandatory client price?
No. It is a planning result from your inputs; final pricing depends on scope, market, contract, taxes and risk.
Should I use monthly or annual figures?
Keep all inputs on the same period so annual income is not mixed with monthly hours or expenses.