What should a plumber's day rate include?
Your yearly business costs and your target profit, divided by the days you can charge for. Leave out the days spent quoting, travelling, on holiday or off sick.
Plumber day rate calculator
Free plumber day rate calculator for the UK. Enter your yearly costs, the days you can charge for and your target profit to see the day rate you need, with or without VAT. Free to use, no account needed.
Day rate you need
£239.13
- Hourly rate
- £34.16
- Money you need to bring in a year
- £55,000.00
- Paid days a year
- 230
- Paid hours a year
- 1610
This is an estimate only, provided for general guidance. It is not tax, accounting, financial or legal advice. Check any figures with a qualified professional before relying on them.
How to work out a plumber's day rate
Your day rate has to cover two things: what it costs to run the business for a year, and the profit you want before tax. Add them together and divide by the days you can actually charge for. The number of paid days is usually much lower than the days you work, because quoting, travel between jobs, collecting parts, paperwork, holidays and sick days all take time nobody pays for.
Start with your real costs from last year: van finance or lease, fuel, insurance, tools and equipment, phone, accountant, software and any registration fees, such as Gas Safe if you do gas work. Then set a target profit. Remember that profit is not take-home pay. Income tax and National Insurance come out of it.
VAT and CIS
If you are VAT registered, you normally add VAT at the standard rate of 20% to the price you charge. You must register once your taxable turnover goes over £90,000 in any rolling 12 months. Some work, such as certain energy-saving installations, has a different VAT rate, so check HMRC guidance for the jobs you do. The calculator only adds the standard rate.
If you work as a subcontractor for a building contractor under the Construction Industry Scheme, the contractor deducts tax from the labour part of your invoice: 20% if you are registered for CIS, or 30% if you are not. Our free CIS tax calculator shows what you would receive.
Questions
Should I charge by the day or by the hour?
Many plumbers quote a fixed price per job and use a day or hourly rate to work it out. The calculator shows both, so you can use whichever suits the job.
Does the calculator include tax?
No. Target profit is before income tax and National Insurance. VAT is added only if you tick that you are VAT registered.