Set a service price from hourly cost and desired margin.
The service cost is divided by one minus the margin so that margin is earned on the final price. Time-based services priced at cost-plus only stay healthy when the rate reflects the margin, not just hours.
Service Pricing
Price = cost / (1 - margin)
Price = cost / (1 - margin) The service cost is divided by one minus the margin so that margin is earned on the final price.
Time-based services priced at cost-plus only stay healthy when the rate reflects the margin, not just hours.
This calculator takes 3 inputs: Cost per hour, Hours of service, Target margin. The pre-filled defaults are a realistic starting point — replace them with figures from your own environment for a result you can act on.