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Service Profit Margin Calculator

Analyze profitability of individual cleaning contracts

Monthly revenue from this cleaning contract.
$
Total hours worked by all cleaners on this contract per month.
hours
Average hourly wage including payroll taxes and benefits (typically add 25-35% to base wage).
$
Cost of chemicals, paper products, and consumables used per cleaning visit.
$
Number of cleaning visits per month (e.g., 5 days/week x 4.33 weeks = ~22).
visits
Your company overhead rate (use Overhead Rate Calculator to determine). Industry average: 25-40%.
%

Profit Analysis

Monthly Revenue-
Labor Cost-
Supply Cost-
Overhead Allocation-
Total Costs-
Gross Profit-
Net Margin-
Profit Per Hour-
Reference: Profit = Revenue - (Labor + Supplies + Overhead). Healthy cleaning business margin: 10-28%. Below 10% signals pricing issues.