Contractor Overhead & Profit Margin Calculator
Underpricing kills roofing companies slowly. Enter your fixed overhead, crew wages, billable hours, and desired margin to find your true breakeven hourly rate and the minimum bid per square that actually makes money.
Your monthly numbers
Truck payments, insurance, software, office rent
Include taxes & burden if you know them
Monthly costs
$58,260
$53,760 of it is labor
Revenue target (25% margin)
$77,680
$19,420 profit kept
Breakeven hourly rate
$162
per billable crew hour
At ~400 squares/month of capacity, never bid below $194.20/SQ. Any quote under that number loses money after overhead — even when it feels like pure profit on the invoice.
This result is free — the next steps are for pros
The formula most small roofers skip
Your revenue target isn't cost + profit — it's cost ÷ (1 − margin). A 25% margin on top of $18,000 in costs means you need $24,000 in revenue, not $22,500. That gap is exactly why “busy but broke” is so common in residential roofing.
Once you know your breakeven rate per crew-hour, compare it to what you're actually bidding per square. If the numbers don't reconcile, either your overhead allocation or your close-rate assumptions need work — and it's better to find that on a calculator than on a P&L.
Stop calculating by hand. Automate every estimate.
RoofHQ runs these numbers — plus full material orders, branded proposals, and deposits — automatically from one address.