When establishing a baseline price for freelancing, what do we count as expenses? What do we count as personal profit?

Not being a total expert in this field myself (...yet!), but I would define your own salary in your expenses and see yourself as an employee. By looking at this formula, you can then define your own salary and base the hourly rate on this. This would also make it easier should you decide to grow you're business and take on a few employees.

It's a tricky one, because if you're freelancing then it's your own business so surely the profit is yours anyway? I would however assume that adding in your profit as an expense would be a much cleaner and much more straightforward way of doing it, as you know exactly what your salary is and also can define how much of a profit the business is making.

As I said, I'm not an expert on this so I could be totally wrong, but this is the way I'd do it! It would be interesting to see how other people have defined this though.