LABOR RATE CALCULATOR

Pay your technicians right.
Drive the profit you want.

Set Your Labor Rate with Confidence

Your labor rate is one of the most important numbers in your shop. Get it right, and you’ll:
Cover your costs
Pay your techs what they deserve
Keep your shop profitable

This tool does the math for you—no guesswork, no stress—so you can make smart decisions and keep your shop running strong.

Labor Rate Calculator

Using data from your P&L or shop management report:

1. Enter your Gross Revenue.

2. Enter Parts Revenue, Labor Revenue, and Parts Gross Profit (on parts sales) percentages.

3. Enter Turn Key Dollars – this is your overhead costs, or all other costs aside from parts and labor costs of goods.

4. Finally, enter your Desired Net Profit – this is your goal profit percentage and will ultimately dictate your labor rate.

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