How to Price a Job (Labor + Materials + Markup)
A simple framework tradespeople use to price jobs profitably: cost your labor, cost your materials, add markup, and don't forget overhead.
Profitable pricing comes down to four pieces: labor, materials, markup, and overhead. Get these right and you'll stop leaving money on the table.
1. Price your labor
Decide your hourly rate (or flat rate per task) based on your skill and local market. Multiply by the hours the job will actually take — including setup, cleanup and drive time.
2. Cost your materials
Add up everything you'll buy for the job. Keep receipts. In BillMaker, list materials as their own line items so the customer sees what they're paying for.
3. Add markup
Mark up materials 15–30% to cover sourcing time, delivery, warranty and the cash you front. BillMaker applies your markup percentage to the materials subtotal automatically.
4. Cover overhead and profit
Your rate should already bake in insurance, vehicle, tools and a profit margin. If it doesn't, raise your rate — busy and broke is not a business model.
Put it into practice
Build a professional estimate or invoice free, in about two minutes.
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