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How to Price a Job: A Simple Guide for Service Businesses

June 16, 2026

Underprice and you work for free; overprice and you lose the bid. Here's a simple way to land on a number you can defend.

Start with your costs

Add up the direct costs of the job: your labor (hours × your hourly rate), materials, and any subcontractors or disposal fees. This is your floor — you never want to charge below it.

Add overhead

Your truck, insurance, fuel, phone, software, and the hours you spend quoting all cost money. A common approach is to add a flat percentage (often 10–20%) on top of direct costs to cover overhead.

Add your profit margin

Profit is what's left after costs and overhead — it's not optional, it's how your business grows. Decide on a target margin (15–30% is typical for trades) and add it on top.

Sanity-check against the market

Look at what similar pros in your area charge. If your number is wildly higher, make sure your quote shows the value (quality, speed, warranty). If it's wildly lower, you're probably leaving money on the table.

Quote with confidence

An itemized, professional quote justifies your price for you — when the client sees each line, the total feels fair instead of arbitrary. ListWisp builds that quote from a plain description of the work in seconds.

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