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Ep 12 - How to Set Your Billable Labor Rate (and Actually Make a Profit)

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Manage episode 516322407 series 3695412
Content provided by Adam B. & Brian W., Adam B., and Brian W.. All podcast content including episodes, graphics, and podcast descriptions are uploaded and provided directly by Adam B. & Brian W., Adam B., and Brian W. or their podcast platform partner. If you believe someone is using your copyrighted work without your permission, you can follow the process outlined here https://podcastplayer.com/legal.

In this episode of Clerics of Marketing, Adam and Brian tackle one of the most misunderstood (and most important) parts of running a home service business: how to calculate your true billable labor rate.

Too many contractors pull a number out of thin air — $75/hr, $100/hr — without realizing what it really costs to put a technician in a truck. From payroll burden and non-billable time to trucks, tools, and overhead, this episode breaks down every component that goes into building a profitable rate — one that fuels growth instead of draining your margins.

You’ll learn:

✅ How to calculate your true cost per billable hour — including wages, benefits, and inefficiencies

✅ Why non-billable time and callbacks can kill profitability if not priced right

✅ How to factor in trucks, wraps, tools, and marketing into your hourly rate

✅ What a 25% profit margin target actually looks like in your pricing

✅ The math behind going from $75/hr → $413/hr — and why it’s justified

If you’ve ever wondered why you’re busy but not making money, this episode will open your eyes to the hidden costs every contractor faces — and how to fix them.

🕒 Perfect for electricians, plumbers, HVAC pros, and home service owners ready to scale smart and profitably.

Keywords: contractor pricing, billable labor rate, home service profitability, hourly rate calculator, trades business growth, contractor profit margin, field service management, electrician pricing, plumbing business tips, marketing for contractors

  continue reading

17 episodes

Artwork
iconShare
 
Manage episode 516322407 series 3695412
Content provided by Adam B. & Brian W., Adam B., and Brian W.. All podcast content including episodes, graphics, and podcast descriptions are uploaded and provided directly by Adam B. & Brian W., Adam B., and Brian W. or their podcast platform partner. If you believe someone is using your copyrighted work without your permission, you can follow the process outlined here https://podcastplayer.com/legal.

In this episode of Clerics of Marketing, Adam and Brian tackle one of the most misunderstood (and most important) parts of running a home service business: how to calculate your true billable labor rate.

Too many contractors pull a number out of thin air — $75/hr, $100/hr — without realizing what it really costs to put a technician in a truck. From payroll burden and non-billable time to trucks, tools, and overhead, this episode breaks down every component that goes into building a profitable rate — one that fuels growth instead of draining your margins.

You’ll learn:

✅ How to calculate your true cost per billable hour — including wages, benefits, and inefficiencies

✅ Why non-billable time and callbacks can kill profitability if not priced right

✅ How to factor in trucks, wraps, tools, and marketing into your hourly rate

✅ What a 25% profit margin target actually looks like in your pricing

✅ The math behind going from $75/hr → $413/hr — and why it’s justified

If you’ve ever wondered why you’re busy but not making money, this episode will open your eyes to the hidden costs every contractor faces — and how to fix them.

🕒 Perfect for electricians, plumbers, HVAC pros, and home service owners ready to scale smart and profitably.

Keywords: contractor pricing, billable labor rate, home service profitability, hourly rate calculator, trades business growth, contractor profit margin, field service management, electrician pricing, plumbing business tips, marketing for contractors

  continue reading

17 episodes

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