Service Agreement Pricing Calculator
Stop underpricing your maintenance plans. Calculate the true cost of delivering service agreements and find your profitable price point.
Enter Your Numbers
Adjust the values to match your service agreement
What you pay the technician per hour
Rent, insurance, office, tools (typically 40-60%)
Discount you offer members on additional repairs
Typical additional repair revenue per plan customer
Adjust the values and click "Calculate" to see your recommended service plan price
Why Most Contractors Underprice Service Plans
Hidden Costs They Forget
- • Travel time is labor time (30 min = $17.50 at $35/hr)
- • Fuel and vehicle wear add up fast
- • The repair discount is real money off the table
- • Overhead applies to everything
The Competition Trap
- • Matching competitor prices without knowing their costs
- • Assuming "everyone charges $199" is profitable
- • Forgetting that you need profit, not just break-even
- • Not factoring in no-shows and rescheduling costs
Service Plan Pricing Tips
Tier Your Plans
- • Basic: calculated price (2 visits)
- • Premium: add 1-2 more visits, priority scheduling
- • VIP: more visits, highest discount, emergency priority
- • Most customers pick the middle option
Recurring Revenue Benefits
- • Predictable cash flow year-round
- • Lower customer acquisition costs
- • Fills slow season schedules
- • Increases company valuation
"I was charging $199 for our maintenance plan because everyone else did. Turns out I was losing $40 per customer after labor and travel."
Higher Customer Retention
Avg. Annual Recurring (100 plans)
Manual Reminders Needed
Turn One-Time Customers into Recurring Revenue
You just calculated what profitable service plans look like. Now automate the entire process — billing, scheduling, renewals, and reminders.
Monthly, quarterly, or annual — set it and forget it
Visits appear on your calendar automatically
Automatic SMS reminders before each service
Never lose a customer to lapsed membership
"Service agreements turn one-time jobs into predictable recurring revenue — growth compounds month over month."— What many HVAC owners report