List the monthly costs of running your business, then spread them across your sales so every price covers them.
Monthly overhead costs
Results
Margin
The share of the selling price you keep as profit. A $100 sale with a 30% margin leaves you $30.
Markup
How much you add on top of cost. A 30% markup on a $100 cost makes a $130 price, which is only a 23% margin.
Break-even
The point where sales cover every bill. Below it you lose money; above it each sale adds profit.
How to use Overhead Calculator
- List each monthly business cost, like rent, insurance, vehicle and software.
- Enter how many jobs or sales you complete in a month.
- Enter your billable hours per month.
- Send the overhead-per-sale figure straight into the pricing calculator.
Frequently asked questions
What counts as overhead?
Overhead is any cost of running the business that isn't tied to one specific job: rent, insurance, phones, software, vehicle payments, accounting and marketing.
How do I calculate overhead per job?
Add up your monthly overhead and divide by the number of jobs you complete in a month. $2,200 of overhead across 45 jobs is about $48.89 per job.
Why does overhead matter for pricing?
If prices only cover materials and labor, every job looks profitable while the business slowly loses money. Adding overhead per job makes each sale pay its share.
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