How to price your plumbing services

Pricing plumbing work is complex. You need to cover costs, stay competitive, and make a profit. Here's how to build a pricing strategy that works.

Understanding your costs

Before setting prices, know what each job costs you.

Direct costs:

• Labor (your time or employee wages)

• Materials and parts

• Vehicle and fuel

• Tools and equipment

Overhead costs:

• Insurance (liability, vehicle, workers comp)

• Licensing and certifications

• Marketing and advertising

• Software and office expenses

• Training and development

Hidden costs:

• Travel time (unpaid)

• Quote time (often unpaid)

• Admin and paperwork

• Call-backs and warranty work

Call-out fee structure

Call-out fees establish value and commitment.

Why charge call-out fees:

• Covers travel time and fuel

• Confirms customer is serious

• Reduces no-shows and cancellations

• Provides minimum revenue per trip

How to structure:

• Standard call-out: $60-100

• After-hours: 1.5-2x standard

• Weekend/holiday: 2x standard

• Emergency: Premium rate

Apply to final bill:

• Include call-out in total quote

• Or credit toward work performed

• Communicate clearly at booking

Hourly vs. fixed pricing

Both models have their place.

Hourly pricing

Best for:

• Diagnostic work

• Unknown scope jobs

• Time and materials projects

• Warranty and maintenance work

How to set hourly rates:

• Calculate your cost per hour

• Add profit margin (20-40%)

• Research market rates

• Typical range: $80-150/hour

Pros:

• Fair for varying complexity

• Protected against surprises

• Flexible for scope changes

Cons:

• Customers uncertain about final cost

• Perception of "running the clock"

• Harder to quote upfront

Fixed pricing

Best for:

• Common, predictable jobs

• Marketing and advertising

• Customer peace of mind

• Competitive situations

How to build fixed prices:

• Track time on common jobs

• Add materials at markup

• Include travel and overhead

• Add profit margin

Example fixed prices:

• Tap replacement: $150-250

• Toilet repair: $100-200

• Blocked drain: $150-300

• Hot water service: $200-400

Pros:

• Customers know cost upfront

• Easier to sell

• Rewards efficient work

Cons:

• Risk if job takes longer

• Must estimate accurately

• Less flexibility

Pricing materials and parts

Materials are a profit center too.

Markup guidelines:

• Standard parts: 25-50% markup

• Specialty parts: 30-75% markup

• Customer-supplied parts: Labor only

• Emergency parts: Higher markup acceptable

Communication:

• Quote parts and labor separately

• Explain quality differences

• Offer options when available

• Be transparent about costs

Emergency and after-hours pricing

Premium pricing for premium service.

After-hours rate structure:

• After 5pm: 1.5x standard rates

• Weekends: 1.5-2x standard

• Public holidays: 2x standard

• True emergencies: Premium call-out + rates

Emergency categories:

• Burst pipe/flooding: Immediate, highest rate

• No hot water: Same-day, premium rate

• Blocked toilet (only one): Urgent, premium rate

• Dripping tap: Schedule normally

Maintenance contracts

Recurring revenue from regular customers.

Contract benefits:

• Predictable income

• Customer loyalty

• Priority scheduling

• Relationship building

Contract structure:

• Annual inspection included

• Discounted hourly rate

• Priority emergency response

• Fixed pricing on common repairs

Quoting and estimates

Present pricing professionally.

Quoting best practices:

• Provide written quotes

• Break down labor and materials

• Include scope clearly

• Set quote validity period

Dealing with uncertainty:

• Provide range estimates

• Explain what could change price

• Get approval before extra work

• Document everything

Raising prices

Review and adjust pricing annually.

When to raise prices:

• Your costs have increased

• Market rates have risen

• You're booked solid

• Quality and reputation improved

How to communicate:

• Give notice to existing customers

• Explain briefly (costs, quality)

• Update all marketing materials

• Train team on new pricing

Key takeaways

• Know your costs before setting prices

• Call-out fees establish value and commitment

• Use hourly for unknown scope, fixed for common jobs

• Markup materials appropriately

• Premium pricing for emergency and after-hours

• Consider maintenance contracts for recurring revenue