HVAC Job Profit Margin Calculator
What Did That Job Actually Make?
Price minus what it took to do it, before and after the overhead that has to be paid whether the truck rolls or not. Put in one job and see gross margin, net margin, markup, and the price that would have hit your target.
Example numbers loaded. Replace with yours.
What the customer paid.
Tech hours at fully loaded rate, including drive time.
What you paid for what went in.
Permits, disposal, subcontract, financing fees.
Share of revenue that has to cover trucks, office, insurance, admin. From your P and L.
What you want jobs like this to make before overhead.
Gross margin
How to read it.
Gross margin
Price minus labor, parts, and other direct costs, as a share of price. This is the margin every other calculator on this site asks you for. Now you know where it comes from.
Net after overhead share
Gross profit minus the share of revenue that covers the fixed costs of being open. This is what the job actually contributed. Positive gross and negative net is more common than owners think.
Price to hit target
Direct cost divided by one minus your target margin. If your techs quote below this, the target is a wish. Put it in the price book.
What this calculator leaves out.
On purpose, so you know where the number is soft.
- Overhead share is an average
- Twenty-two percent of revenue is a blended figure. A slow February job carries more overhead than an August one. Your accountant can give you the true rate.
- Callbacks and warranty
- A job that needs a return visit loses margin after this calculation is done. Track callback rate separately.
- Financing fees
- If the customer financed, the dealer fee is a direct cost. Put it in other direct costs, not in the price.
- Marketing cost
- What it cost to win this job is not in here. Cost per booked job is on the ROI calculator. Net after overhead has to beat it.
Margin is where marketing gets paid from
Every marketing conversation eventually comes down to this number. If the jobs a channel produces run at 30% gross and 22% overhead, the channel has 8% to live on. That is why we ask about job mix and margin before we quote a budget, and why more revenue is not always the goal.
Henry “Hank Hugh” Hernandez, CEO, HVAC Digital Marketing
HVAC Growth Audit. Free.
Want us to run it on your real records?
A calculator works on what you type in. The Growth Audit works on what your call log and job software actually say, by channel, and shows you which of the seven steps between a search and a booked job is leaking.
- Cost per booked job, by channel, from your own numbers
- The step that is leaking, and how many jobs it costs you
- What it takes to move it, in writing if you want it
Start here. Two minutes.
Three questions to start. Your answers stay between us.
Questions owners ask.
What margin should an HVAC job have?
Enough to cover overhead and leave a real profit, which depends on what your overhead actually is. Replacement, repair, and maintenance also carry different margins on purpose. Set a target per job type from your own P and L, then hold the price book to it.
Markup or margin?
Margin is profit as a share of price. Markup is profit as a share of cost. A 50% margin is a 100% markup. Techs usually think in markup, owners in margin, and the confusion costs money. This shows both.
Should marketing cost be in the job margin?
Not in gross margin. But net after overhead has to be larger than what the job cost to win, or the channel that produced it is losing money. Run this and the ROI calculator side by side.
What does it cost?
It depends on the market and what is in the way, and fee is always separate from ad spend so you can see what you are paying for. We put the number in the proposal after the call, not before it.
Do you save what I type in here?
No. The math runs in your browser and nothing is sent anywhere unless you tap the text button, which opens a message you can edit or delete before sending.
Can I just text instead?
Yes. Text the question and I will answer it. No call, no charge. The call exists for the questions that need your numbers in front of both of us.
Now see it by job type, on your real records.
One job is one job. The audit reads your job software and shows margin by service line, so you know which jobs marketing should be chasing.
