No matter how long they have been in the Plumbing Jobs, any plumbing contractor knows that estimating jobs is an important part of their business. It is important to give a fair estimate to your client to win their trust, secure the contract and avoid any disputes. You also need to make a profit, because that’s what you do.
It can be difficult to figure out how to price plumbing jobs, even with the best intentions. We’ll help you understand this complex process.
Four Things that Affect Pricing: How to Set Plumbing Quotes
Before we get into the details of how to calculate an hourly rate for plumbing, let’s talk about some factors that can affect pricing.
- Industry Standards for Job Estimates
When pricing plumbing jobs, industry standards can be a great place to start. Plumbers earn an average of $45-200 per hour and $175-450 for common jobs. These industry standards can be used as a guideline. It’s useful to look at the average cost of experienced plumbers in your area and then work from that.
To account for travel time, plumbers typically require a minimum of one to two hours. However, you may also be required to charge a fee or trip fee. Flat rates are common for jobs such as toilet or shower installation. Plumbers can also charge time blocks if they are certain how long the task will take.
- Your Salary Needs
After you have done your research about the rates of plumbers in your area, you should be able to understand your salary requirements. You will need to be able to afford the rates you set, so make sure to take enough time to fully understand them.
When determining your salary needs, you should ask yourself the following questions: How much you earn to maintain your business, how much you have to pay your employees, and whether you provide free quotes. You should consider whether you offer free quotes when setting your rates.
- Ease and size of the job
It is important to fully inspect the area before you give an estimate. Although some plumbing repairs may appear simple, additional inspections may uncover unexpected problems that could increase the cost to the client or result in a lower profit for you. While some situations are difficult to predict, your client will appreciate knowing what you can and cannot see.
The next step is to consider the job’s size. You will need to spend more time researching for in-depth jobs. This will increase the cost of your Plumbing Jobs estimate. Bigger jobs may also require subcontractors that have their own permit–and payment–requirements. When estimating your cost, consider subcontractors and research costs. Add a three percent buffer.