Margin calculator

How much should a main contractor add to subcontractor prices?

Work back from the margin you need to keep, not forward from a habit. To keep a margin on the client price, divide the subcontractor's price by one minus that margin. Adding 20% to a subcontractor's price keeps a margin of only 16.7%.

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.

There is no standard figure. What you add has to pay for your own costs on the job (managing it, the site visits, the risk of putting it right) and leave the profit you want. Decide that margin first, then work out the markup that delivers it.

The trap is adding a round percentage. Add 20% to a subcontractor's price and the 20% is a share of their price, not of yours, so you keep less than 20% of what the client pays.

Margin you keepMarkup to addOn a £10,000 subcontract, charge the client
10%11.1%£11,111.12
15%17.6%£11,764.71
20%25%£12,500
25%33.3%£13,333.34
30%42.9%£14,285.72
35%53.8%£15,384.62
40%66.7%£16,666.67

Do it trade by trade. A job can look healthy in total while one trade is priced so tight that a single day's delay turns it into a loss.

Margin to markup, and back

Type in either box and the other one changes.

The most you can pay a subcontractor

Enter what the client pays for that part of the job and the margin you want to keep.

Most you can pay
Your profit
Same as a markup of

The full margin calculator

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.