Hourly Invoice Calculator

Turn hours and hourly rates into an invoice total. Add expenses, apply a discount and tax, then subtract any deposit already paid.

Hourly entries

Start with one rate. Add more entries for different tasks, people, or rates.

Amount $850.00

Expenses (optional)

Adjustments

Discount
%

How to calculate an hourly invoice

  1. Enter each block of billable hours and its hourly rate.
  2. Add any billable expenses (software, materials, travel).
  3. Apply a percentage or fixed discount if needed.
  4. Add tax on the discounted subtotal.
  5. Subtract any deposit already paid to get the balance due.

Example: 10 hours at $85/hour is $850 labor. Add a $50 expense, apply a 10% discount ($90), then 8% tax on the remaining $810 → tax $64.80 → invoice total $874.80.

Billable hours and expenses

Billable hours are time you charge for—client work and agreed meetings. Non-billable time stays off the invoice. List expenses separately so clients can see labor versus out-of-pocket charges.

Frequently asked questions

How do I invoice for partial hours?
Enter decimal hours (for example 1.5 for an hour and a half). The line amount is hours × hourly rate.
Can I use more than one hourly rate?
Yes. Add another hourly entry for each task, person, or rate. Labor total is the sum of all hourly lines.
How are expenses handled?
Add reimbursable or billable expenses separately from labor. Expenses are included in the subtotal before discounts and tax.
Is tax calculated before or after a discount?
Tax is applied after the discount, on the discounted subtotal (labor + expenses − discount). Confirm the tax rules that apply in your jurisdiction.
What does Create this invoice do?
It opens the Invoice Generator with your hours, rates, expenses, discount, tax, deposit, and currency prefilled so you can review and send the invoice.

Set your rate with the Freelance Rate Calculator. For labor, materials, and markup on a single job, use the Contractor Invoice Calculator. For general line-item totals, use the Invoice Calculator. Price deliverables with the Markup Calculator or Margin Calculator. Billable hours tools are listed under Create & Price. Ready to bill? Create an invoice.