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Plumbing

Plumbing Markup Calculator

Apply a markup to job cost and see the margin it actually returns.

Your numbers

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Result

Total job price $2,680.00
Gross profit $1,068.00
Gross margin 39.85%
Total cost $1,612.00
The job prices at $2,680.00 against $1,612.00 of cost, $1,068.00 gross profit, a 39.85% margin.

Small parts carry the highest markup because the dollar value is trivial to the customer but the sourcing, stocking and van inventory cost is real. Fixtures carry less because customers can price-check them.

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What moves the number

  • Whether the base is materials only or the full cost of delivering the job.
  • Different markups for materials, fixtures and labour, which carry different risk.
  • Warranty exposure on both the part and the workmanship.

Where this one goes wrong

Marking up materials only. Materials are a minority of most plumbing jobs; labour is the bulk, and a markup applied only to parts recovers very little of what the job cost.

Questions

About this calculator

What markup gives a 50 percent margin?

One hundred percent. Doubling cost is the only way to keep half the selling price, and a 50 percent markup returns a 33 percent margin.

Should fixtures carry the same markup as fittings?

Usually not. An expensive fixture at a high percentage produces a number the customer will price online, while a fitting at the same percentage recovers nothing for handling.

How should customer-supplied fixtures be handled?

As a policy decided in advance. If you fit them, the labour rate has to account for having no material margin and for warranty on something you did not select.

How useful was this calculator?

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How to use this calculator

  1. Parts and fittings cost ($). Enter your own figure; the page starts at $340.
  2. Markup on parts (%). Enter your own figure; the page starts at 75%.
  3. Fixtures cost ($). Enter your own figure; the page starts at $900.
  4. Markup on fixtures (%). Enter your own figure; the page starts at 35%.
  5. Labour hours. Enter your own figure; the page starts at 6.
  6. Labour rate charged ($). Enter your own figure; the page starts at $145.

The result updates as you type, so you can try a figure, see what it does to total job price, and change it back. Nothing you enter is sent anywhere or saved.

A worked example

These are the figures the calculator opens with. Every number in the results column below is produced by the same calculation the page runs, so you can follow it through before putting your own figures in.

What goes in

InputValue
Parts and fittings cost$340
Markup on parts75%
Fixtures cost$900
Markup on fixtures35%
Labour hours6
Labour rate charged$145
Labour cost per hour$62

What comes out

ResultValue
Total job price main result$2,680.00
Gross profit$1,068.00
Gross margin39.85%
Total cost$1,612.00

The job prices at $2,680.00 against $1,612.00 of cost, $1,068.00 gross profit, a 39.85% margin.

How sensitive the answer is

Holding everything else steady and changing only parts and fittings cost, this is what happens to total job price. It is worth knowing which of your inputs the answer actually hinges on, and which barely move it.

Parts and fittings cost ($)Total job price
$170 $2,382.50
$255 $2,531.25
$340 example above $2,680.00
$510 $2,977.50
$680 $3,275.00

Every other input is held at the example value while this one changes, which is not how a real job behaves. Treat it as a guide to which number matters most, not as five separate quotes.

What each figure means

Parts and fittings cost ($)
A money amount, starting at $340.
Markup on parts (%)
A percentage, between 0 and 500, starting at 75%.
Fixtures cost ($)
A money amount, starting at $900.
Markup on fixtures (%)
A percentage, between 0 and 300, starting at 35%.
Labour hours
A number, between 0 and 500, starting at 6.
Labour rate charged ($)
A money amount, starting at $145.
Labour cost per hour ($)
A money amount, starting at $62.

What the results tell you

ResultWhat it is
Total job priceThe headline result. A money figure.
Gross profitA money figure.
Gross marginA percentage.
Total costA money figure.

Before you rely on this number

Pipe sizing, flow and pressure figures depend on the actual fittings, the run, the material and local code. Code requirements vary by jurisdiction and override any general calculation, so check what applies where the work is happening.

Estimating is the easy part

The jobs you never hear about cost more than the ones you mis-measure. BDEVY builds the marketing, systems and automation that bring them in.