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What should you charge?

First, get a quick read on how many jobs and leads your business needs to break even. Then use the calculator below to price your next job exactly.

Step 1

How many jobs and leads do you need?

Enter your average job revenue and monthly overhead. We’ll show you what it takes to break even at different profit margins. (Example numbers are pre-filled below — replace them with your own.)

What a typical job brings in. This is the price you charge the customer, not what it costs you to do the work.

This is NOT field labor or materials — those belong in the job price. This is what YOU need to pay yourself as the owner, plus every other fixed cost to run the business: rent, insurance, office, admin payroll, vehicles, software. Everything you pay whether or not you sell a job this month.

Out of every 10 leads that come in, how many do you actually sell? Sell 3 out of 10 and your close rate is 30%.

Jobs, leads and revenue needed each month to break even, shown at five gross margins
Gross marginProfit / jobJobs / monthLeads / monthRevenue / month
20%————
30%————
40%————
50%Floor————
60%————

Example above: a $5,000 average job, $15,000 monthly overhead, and a 30% close rate. Formula: Break-even Revenue = Overhead ÷ Margin, then Jobs Needed = Revenue ÷ Average Job Revenue, then Leads Needed = Jobs ÷ Close Rate. Enter your own numbers above to replace the example. 50% is marked as the floor, it’s where The Contractor Fight starts every contractor. Below that, you’re pricing to survive, not to build something worth having.

Step 2

Bid your next job

Price this job the same way — materials, labor, subs, and everything else it actually costs you.

Average job costs

Total: $0

50% of the price you charge

Charge this

$0

Gross profit $0
Markup on cost 0%
Total job cost $0

Enter your job costs above to see your number.

Formula: Price = Total Job Cost ÷ (1 − Target Margin). Margin and markup aren’t the same thing. A 50% margin means a 100% markup on cost. The Contractor Fight starts every contractor at a 50% gross profit target. It’s the fastest way out of the financial gutter, and the floor you build a scalable business on.

Build a business worth having

Knowing what to charge is step one. Knowing whether the rest of your business can actually support you charging it is a different question. Take the free Build a Business Worth Having Scorecard and find out where the gaps are.

The Contractor Fight®. No Excuses. No Victims. No Shortcuts.