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TradeFlare BlogHow to Set Your Handyman Hourly Rate (and When to Use Flat Rates)
Your handyman hourly rate is not what you want to take home per hour. It has to cover the hours you don't bill, the truck, the tools, insurance, taxes and a profit. Here is a simple way to work out the number for your own business instead of copying someone else's.
Start with what you need to earn
Decide the yearly income you want to pay yourself. Then add your yearly business costs: truck payment, fuel, insurance, tools, phone, software, licensing where required, advertising and accounting. Add an amount for taxes. That total is what your billable hours have to cover.
Count your real billable hours
Nobody bills forty hours a week. Driving, buying materials, quoting, returning calls and doing paperwork all take time. Look at a normal week and count the hours you actually charge a customer for. Multiply by the weeks you'll work in a year, minus vacation, holidays and slow weeks.
Do the math
Divide the total you need to earn by your billable hours for the year. That's your break-even hourly rate. Then add a profit margin on top, because a business that only breaks even has nothing for a slow month or a new tool. Compare the result with what established handymen near you charge. If yours is much lower, you're probably leaving money on the table.
Set a minimum charge
Small jobs cost you a full trip. Many handymen set a minimum, such as the first hour or a set trip charge, so a ten-minute job still covers the drive. Tell customers about it when they book.
Use flat rates for repeat tasks
For work you do all the time, like mounting a TV, installing a faucet or hanging a door, a flat price is easier to sell than an hourly estimate. Customers like knowing the total up front, and if you get faster, you keep the difference. Build a list of your common tasks with flat prices and reuse it.
Bundle small jobs into one visit
Encourage "honey-do" lists. A half-day or full-day booking with several tasks is more profitable than five separate trips. Offer a set price for a block of time and let the customer fill it.
Charge for materials and pickups
Add materials at cost plus a markup, and charge for the time it takes to pick up special-order items.
Revisit your rate every year
Costs rise. Review your rate at least once a year, and raise it when your schedule stays full weeks ahead.
Mistakes to avoid
- Copying another handyman's rate without checking your own costs.
- Forgetting the unpaid hours: driving, quoting, buying materials.
- Never raising your rate even when you're booked out for weeks.
Your next step this week
Grab last month's bank statement and calendar. Add up every business cost and every hour you actually billed, then run the math above with real numbers. If the rate you need is higher than what you charge, raise it for new customers first, then for existing ones at the next season. Most customers accept a fair raise from someone they already trust.
How TradeFlare helps
Price book and quotes. Save your services and prices once, even by voice, and reuse them on every quote. Send the quote from your phone, watch it go Draft > Sent > Viewed > Accepted, and turn it into a job with Make it a job. Unanswered quotes get an automatic follow-up.
Scheduling and dispatch. The AI can book callers into open slots using your business hours, job types and lengths, and who's available, and you can undo any booking in one tap. Create jobs, assign techs, and see who's working what today and this week on the dispatch board.
Hear TradeFlare's own AI front desk any time at (855) 651-5075.
Video: Field Service App to Run Your Crew From Anywhere
Frequently asked questions
How do I calculate a handyman hourly rate?
Add your desired income, yearly business costs and taxes, divide by your real billable hours for the year, then add a profit margin.
Should a handyman charge a minimum?
Many do, because every trip has a fixed cost. A minimum of an hour or a set trip charge is common. Tell customers when they book.
Is flat-rate pricing better for handymen?
For repeat tasks it often is: customers know the price up front and you benefit as you get faster. Hourly still suits open-ended repairs.