Use last year's figures, or this year's budget if the business has changed. Recheck it when something big moves: a new office, another van, a new member of staff.
Yearly overheads of £210,000 on turnover of £1,000,000 is a rate of 21%.
Job profit calculator
How do I work out my overhead rate?
Divide your yearly overheads by your yearly turnover. If your profit and loss shows overheads at a fifth of turnover, your overhead rate is 20%, and every job gives up a fifth of its price to running the business before it makes a profit.
Free, with no sign-up. Everything is worked out in your browser: nothing you type is sent to us or stored. Use figures excluding VAT.
Where the money on a job goes
Enter the job, then your overheads one of two ways. The bar shows how every pound of the price splits.
- Cost of sales
- Gross profit
- Overheads share
- Net profit
- Break-even price
- Price for your target
- Overhead rate used
More questions
- How do I work out the net profit on a job?
- What is the difference between cost of sales and overheads?
- What is the break-even price for a job?
- What price should I quote to make my target profit?
- See how SUBR works
Where the figures come from
Every number this tool works with is one you enter. It uses no outside rate, threshold or date, so there is nothing to look up.
Where SUBR comes in
SUBR is AI software for UK contractors who send work out to subcontractors. Its AI reads your client quote, your office names each trade's share, and SUBR builds every scope with your costs, margin and client price left off it. Each subcontractor answers on their own link and sees only their own price.
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See it on a quote
A short call. We walk a dummy quote from PDF to jobs on site.