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HVAC Maintenance Agreement Pricing Calculator

Work out what a maintenance plan costs you to deliver across a year, then price it from the margin you actually want rather than from what the company down the road charges.

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Result

Recommended annual price $413.33
Annual cost to deliver $186.00
Gross profit $227.33
Monthly equivalent $34.44
Delivering 2 visits a year costs $186.00, $95.00 of labour, $28.00 of materials, $18.00 of travel, admin of admin and $27.00 of repair discount given up. To keep a 55% margin the plan needs to sell at $413.33, or $34.44 a month. That is the same thing as a 122.22% markup. Margin and markup are never the same number.

A planning estimate, not a price. It assumes every included visit gets delivered, which is where most plans actually lose money: an unused visit looks like profit until the renewal conversation. The repair discount is treated as a real cost because it is. Revenue you have agreed to give up. Use your own burdened labour rate rather than a wage.

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Questions

About this calculator

Why is the repair discount counted as a cost?

Because it reduces revenue you would otherwise have earned. A 15% discount on $180 of member repair work is $27 you have promised away, and leaving it out of the plan's economics overstates the margin.

What margin should a maintenance plan carry?

There is no industry figure worth copying, and anyone quoting one has not seen your cost structure. What matters is that you know the number. A plan sold below its delivery cost loses money on every renewal, quietly, because the cash arrives up front and the cost arrives across the year.

Should unused visits count as profit?

Treat them as a liability, not a windfall. A customer who paid for two visits and received one has a reason to decline the renewal that has nothing to do with price, and that is the most expensive way to book a short-term gain.

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See the whole agreement lifecycle

The demo runs plans, agreements, covered equipment, visit checklists, customer reports and the renewal list against a fictional contractor's book.