Overhead and break-even
List what the business costs to run for a year and what you expect to spend on jobs. Jobmath gives the markup that covers overhead and the markup that also hits your profit goal.
| Overhead item | Per year |
|---|
Job costs are materials, crew wages and subcontractors for the year. The profit goal is a share of sales.
How it's calculated
Each number on this page and the formula behind it.
| Number | Formula |
|---|---|
| Break-even markup | Overhead ÷ job costs |
| Sales needed | (Job costs + overhead) ÷ (1 − profit goal) |
| Markup to charge | Sales needed ÷ job costs − 1 |
| Profit in dollars | Sales needed − job costs − overhead |