How to Price a Job Properly
Written by James Walker · Last reviewed 16 August 2026
James Walker has 2 degrees in construction (BSc (Hons) Building Surveying · MSc Environmental Design of Buildings) and an extensive background in issue resolution, resolving over £4 billion of consumer issues.
The short answer
- Most underpricing comes from forgetting non-working time, not from labour rates being too low.
- Build a day rate from your real annual costs and realistic working days, then price jobs from it.
- Quoting and travel are unpaid time. They still have to be covered.
- Materials markup is legitimate and should be stated in your terms.
- The cheapest quote wins the job and loses the year.
On this page
Start with what a day actually costs you
Take your annual overheads, van, fuel, insurance, tools, phone, accountant, scheme fees, training, and add the income you need to take out.
Then divide by the days you actually work on site. That is the number most trades get wrong: there are not 250 billable days in a year. Between quoting, chasing materials, admin, holiday, illness and weather, the real figure is considerably lower.
Divide by the honest number and the day rate you need is usually higher than the one you have been charging.
Price the job, not the day
Once you know your day rate, price a job on how long it will genuinely take, including setting up, clearing up, and the return visit for snagging that you always do and never count.
Add a realistic allowance for the thing that goes wrong. Something usually does, and if you have not priced for it, it comes out of your margin every time.
Materials
Charge a markup. It covers sourcing, collection, delivery, storage and the risk of damage or shortfall.
Say so in your terms rather than hiding it. Customers who see materials at cost plus a stated percentage accept it; customers who suspect a hidden margin do not.
Why the cheapest quote is a trap
Winning on price against someone who has costed properly means you have found a cost they included and you did not, usually your own time.
You end up busy, with a full diary, and no money at the end of the year. That is the most common shape of a failing trade business, and it starts at the quote.