Most tradespeople price jobs by feel. You look at the work, think about how long it'll take, and say a number. Sometimes you get it right. Sometimes you're halfway through a bathroom fit realising you quoted far too low and you've got to finish anyway.
Pricing is a skill, and it can be learned. Here's a framework that works.
Start with your actual costs
Before you can price a job correctly, you need to know what it costs you to operate per day. Add up your annual costs — van, insurance, tools, phone, software, accountant — and divide by your working days. A realistic figure for a sole trader with a van and basic overheads is usually £80–£120 per day. That's your floor, before any labour.
Price the time, not the job
One of the most common pricing mistakes is quoting a fixed price without thinking carefully about time. "A bathroom fit" sounds like one thing. It's not — it's hours of labour, complexity variables, potential complications, and materials that need ordering. Break it down: estimate the hours, multiply by your day rate, add materials with a markup (15–20% is standard), then add a buffer for the unexpected.
Know your market rate — and decide where you want to sit
Check what other tradespeople in your area charge. Not to race to the bottom, but to understand the range. If you're significantly cheaper than average, you're either buying work you don't want or leaving money on the table. If you're at the top end, make sure your presentation — quotes, photos, response time — justifies it.
Stop being afraid of losing the job
Here's the thing about pricing too low: you get the job, you do the work, you earn less than you should, and you take on another low-margin job to make up for it. The cycle continues. A tradesperson who prices correctly and loses some jobs is usually more profitable than one who wins everything at bad margins.
A good quote that you're confident in is always better than a quote you're already regretting.
Use your quote history
After a few months of quoting in Earnhouse, you'll have data: which jobs converted, which didn't, what you actually charged versus what you should have. Use it. If every quote converts, you're probably too cheap. If you're losing more than you'd like, review whether it's price or presentation.
Pricing is never perfect. But having a system — even a simple one — is dramatically better than going by feel alone.