Field service pricing calculator

This is a field service pricing calculator that works out what an hour of a technician has to bill. The loaded cost of the technician hour is the wage with your payroll taxes and benefits on it; the overhead per technician per week, the van, fuel, insurance, tools, office and software, is spread over the hours actually billed, not the hours paid; the two together are the cost of a billable hour; and your target margin on top gives the hourly rate to charge. Every figure is yours from your own costs; the tool publishes no rate. Free, on the page, no account; the paid plan saves every rate against the customer and the job.

Overhead per billable hour, not per hour paid

A technician paid for 40 hours bills perhaps 25 of them; the rest is driving, quoting, the supply house and the shop. The overhead has to be carried by the hours that bill, so $900 of weekly overhead over 25 billable hours is $36 an hour, and over 40 it would read $22.50 and the year would come in short by the difference. Enter the billable hours you actually invoice.

The cost of a billable hour is the floor

Loaded technician cost plus overhead per billable hour is what an hour costs the business before it earns anything: $35 plus $36 is $71 on the worked example. Bill below it and every call loses money however busy the van is. The tool shows it on its own so the floor is visible before the margin goes on.

The margin on top is the rate

The rate is the cost divided by one minus the margin, not the cost plus the margin: $71 at a 20% net margin is $88.75, because the margin is a share of the price and not of the cost. That is the figure the flat rate book is built from, task by task at its hours; the paid plan keeps the rate and dates it when the overhead changes.