Calculator
The numbers below are examples. Replace them with your own. Results are rounded to the dollar.
Flat-rate price for this job
$365
- Labor (with burden)
- $75
- Overhead share
- $67
- Parts and materials
- $150
- Total cost
- $292
- Profit
- $73
Labor rate to charge per billable hour, before parts
$89/hr
The formula
- Labor cost = wage × (1 + burden %) × job hours
- Overhead share = (monthly overhead ÷ billable hours per month) × job hours
- Total cost = labor + overhead + parts
- Flat-rate price = total cost ÷ (1 − target margin)
Dividing by (1 − margin) instead of multiplying by (1 + margin) is the easiest step to get wrong. Multiplying gives you a markup, which leaves you with a smaller margin than you aimed for.
Worked example
Using the calculator's example numbers:
| Step | Math | Result |
|---|---|---|
| Labor rate with burden | $30 × 1.25 | $37.50/hr |
| Overhead per billable hour | $20,000 ÷ 600 hrs | $33.33/hr |
| Labor for 2 hours | $37.50 × 2 | $75.00 |
| Overhead for 2 hours | $33.33 × 2 | $66.67 |
| Parts | $150.00 | |
| Total cost | $75 + $66.67 + $150 | $291.67 |
| Price at 20% margin | $291.67 ÷ 0.8 | $364.58 |
That price leaves $72.92 of profit, 20% of $364.58. The hourly rate to charge for labor before parts is ($37.50 + $33.33) ÷ 0.8 = $88.54.
Margin vs markup
| Target margin | Same as a markup of | Divide cost by |
|---|---|---|
| 10% | 11% | 0.90 |
| 20% | 25% | 0.80 |
| 30% | 43% | 0.70 |
| 40% | 67% | 0.60 |
| 50% | 100% | 0.50 |
Put it in a pricebook
A calculator prices one job. A flat-rate pricebook in your field service software keeps every tech quoting the same price for the same job. From the vendors' pricing pages (checked October 18, 2026): Housecall Pro has flat-rate pricing from its Essentials plan ($149/month billed annually), FieldEdge lists a flat-rate pricebook on every plan, ServiceTitan lists a pricebook in all packages, and Workiz has flat rate on its Ultimate plan.
Compare the tools
Questions people ask
Add up the job's true cost: labor (wage plus burden, times hours), your overhead per billable hour times hours, and parts. Then divide by one minus your target profit margin. For a 20% margin, divide the cost by 0.8.