Profit and safety-buffer calculator
See what remains after planned business costs and desired personal income.
Rates checked:
Who should use this calculator
This free calculator is intended for freelancers, sole traders, contractors and small-business owners who need a quick planning figure before preparing or checking an invoice. It can also help clients and bookkeepers understand the arithmetic behind a quoted amount. Use the result as a review aid alongside the relevant agreement, source records and current official guidance, not as an automatic accounting or legal decision.
Calculator methodology
Annual revenue minus annual business costs minus desired personal income.
This is general information, not tax, legal or accounting advice.
Worked example
A freelancer forecasts £60,000 revenue, £12,000 of business costs and £36,000 desired personal income. The planning buffer is £12,000 before tax, National Insurance, debt repayments and unexpected costs. They can test a lower utilisation month or higher software cost to see how quickly that margin changes.
Important limitations
This is a simple planning comparison, not accounting profit or take-home pay. It excludes tax, National Insurance, pension contributions, VAT cash flows, timing differences, bad debts and financing unless you include them in your inputs. Use realistic annual figures and scenario ranges; do not treat a positive result as cash currently available to withdraw.
Run at least three scenarios: expected revenue, a cautious case with fewer billable hours, and a stress case that includes a late-paying client or large replacement cost. Review the figures monthly against actual invoices and expenses so the buffer remains a planning signal instead of a forgotten annual estimate.
Common questions
Does Billoz store my calculator entries?
No. These public calculations run in the browser and are not saved to a Billoz account.
Is the result professional advice?
No. It is an indicative calculation based on the values entered and the displayed method.
Should I keep a record of the calculation?
For an important decision, retain the inputs, result, source and calculation date with the relevant invoice or business record.