Free Labor
Cost Calculator

The calculator uses a formula that combines hourly salary, direct costs (like payroll and benefits), indirect costs (such as administrative support), and your desired profit margin. This comprehensive approach ensures you’re accounting for all aspects of labor expense in your business operations.

Use the results to inform your pricing strategy, optimize your route planning, and ensure your business remains profitable. You can input these figures into our route optimization software to balance labor costs with efficient scheduling and travel times.

Direct labor costs are expenses tied to specific jobs or projects, like wages for field workers. Indirect labor costs are general operational expenses, such as salaries for office staff. Both are crucial for accurate cost calculation and efficient route planning.

Understanding your true labor costs allows you to create more accurate and profitable routes. You can balance the cost of labor against travel time and job duration, ensuring each route is optimized for both efficiency and profitability.

Yes, by providing accurate labor costs, this calculator helps you set competitive yet profitable prices for various job types. You can adjust inputs based on job complexity, duration, and required skill level to ensure your pricing reflects the true cost of each service.

It’s a good practice to review your labor costs quarterly or whenever there are significant changes in your business, such as hiring new employees, adjusting wages, or adding new services. Regular recalculation ensures your route planning and pricing remain optimal.

By understanding your true labor costs, you can make informed decisions about hiring, training, route optimization, and service pricing. This information helps you balance workload across your team, optimize travel times, and ensure each job contributes positively to your bottom line.