Business Cost Calculator

Use this Plumbing calculator to work out the hourly charge out rate you should be using for your plumbing/gasfitting & drainage business. Compare the result with the rate you are currently using now. You may be suprised by the comparison.

STEP 1 - Available Working Hours Per Year

Determine how many hours you can charge out for your plumbers/drainers/gasfitters

STEP 2 - Working Days/Hours Lost & Not Chargable Per Year

Calculate how much each employee costs you per year in unproductive time

STEP 3 - Cost of Each Employee Per Year

Calculate how much your employees cost you per year

$

%

%

%

%

$

$

$

$

STEP 4 - Overheads

It is necessary to include overheads in the chargeable rate.
The overheads consist of all costs involved in operating your plumbing/gasfitting or drainage business, including non-cash items such as depreciation. These can be found in your profits & loss statement or ledgers.
All of these costs should be included as a yearly cost.

$

$

$

$

$

$

$

$

$

$

$

$

$

$

$

$

$

$

$

STEP 5 - Provision For Overhead

$

STEP 6 - Profit (this is what it's all about!!)

Don't forget to include a profit margin in your chargeable hours.
You would determine what margin for profit you want from your business. This would be influenced by the available return from other investments & also what the market you are working in will allow.

%

TOTAL COST OF DOING BUSINESS:
per hour

You now have your charge-out rate per hour for your plumbing/gasfitting or drainage business based on the information you have provided. If the information changes then so will the charge-out rate.


So Good Luck & Make A Healthy Profit
From Your Knowledge & Skills.
You Deserve It!