Free tool
Contractor hourly rate calculator
Work backward from the pay you want to take home. Add your business costs and a tax set-aside to find the least you can charge per hour.
Truck, fuel, insurance, tools, phone, licenses.
Ask your accountant for your number.
Hours you can charge for, not drive time or quoting.
This is your floor, the least you can charge and still hit your goal. Many contractors charge more for small jobs and emergency calls.
Put this on an invoiceHow it works
Using the hourly rate calculator
- 1
Enter the pay you want to take home in a year.
- 2
Add your yearly business costs: truck, fuel, insurance, tools, phone, and licenses.
- 3
Enter the share you set aside for taxes. Your accountant can give you a better number.
- 4
Count only billable hours. Driving, quoting, and paperwork are real work, but nobody pays for them by the hour.
Guides
Related guides
- 6 min readHow to Set Your Hourly Rate as a ContractorYour old wage is not your rate. How to work out an hourly rate that covers your truck, tools, insurance, and the hours you do not bill.Read the guide
- 5 min readSlow Season: How Contractors Keep Cash Coming InFewer calls when the weather turns. Ways to keep money coming in through the winter, starting with the invoices you already sent.Read the guide
- 6 min readHow to Write a Contractor Estimate a Homeowner Will ApproveAn estimate gets a yes when the homeowner can see the work, the price, and what is not included. How to write one without turning it into a contract lecture.Read the guide
More free tools
Free for email subscribers
Get 1 month of Business free
Join the weekly email and we'll send you a code for a free month of Business (normally $19.99), plus the printable invoice checklist. One useful guide a week on pricing and getting paid. Unsubscribe any time.