Contractor Markup Calculator

A contractor markup calculator that respects how you actually price: materials, labor and subcontractors each carry a different markup. Enter each cost, set each markup, and ProfitBid blends them into one sell price and one true margin.

Materials cost ($)

Labor cost ($)

Subcontractors ($)

Materials markup (%)

Labor markup (%)

Subs markup (%)

Other job costs — permits, dump, rentals ($)

Markup on other costs (%)

How much should a contractor markup materials?

Common ranges: materials 15-30%, labor 35-60% (because labor carries burden and non-billable time), subcontractors 10-20%. These are starting points, not rules — your overhead, market and close rate decide. What matters is that the blended result hits your target margin, which this calculator shows directly.

Next step: check your labor markup against your true burdened labor cost — most underbidding starts there.

Frequently asked questions

What is a good markup for a general contractor?

Many remodelers target a 25-40% gross margin, which means a 33-67% markup on total cost. Category markups differ: materials lower, labor higher, subs lowest. Use the blended margin shown here as the number to manage.

Should I show the client my markups?

No. The client sees the sell price and the scope. Markups, costs and margins are your internal pricing — the estimate generator on ProfitBid prints a client version that hides them automatically.