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How to use
- Enter Project fee.
- Enter Actual hours.
- Calculate, then review the period, scope and assumptions before using the result for pricing or planning.
How it is calculated
Effective hourly rate = project fee ÷ actual hours
Example
A fixed-fee project worth 9,000 that took 90 hours produces an effective rate of 100 per hour before expenses and untracked time.
Important notes
Track actual hours consistently so planned pricing can be compared with reality; ignoring revisions and small meetings can overstate the apparent rate.
Worked examples and interpreting results
| Case | Calculation | Result |
|---|---|---|
| Effective rate | 9000 ÷ 90 | 100 |
| Project fee | 9000 | 9,000 |
Frequently asked questions
Should pre-sale time be included?
For full client profitability, you may allocate sales time; for project delivery performance alone, keep it separate.
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.