Plumbing · method first, fictional example below
Why invoice size misleads
In the example, the average bathroom installation invoice is £5,300 and the average servicing visit is £160. But 58% of the bathroom installation revenue goes straight out to suppliers and subcontractors, against 5% for servicing. What is left then has to pay for the engineer hours, and big jobs use a lot of them.
Per engineer hour, servicing leaves £66.62 after materials and labour. Bathroom installations leave £13.37.
The method
Each step is worked through in pounds, with the overhead rules compared side by side, in how to calculate profit by job type.
Fictional example · Harbour Plumbing & Heating · 2025
| Job type | Jobs | Average invoice | Contribution per job | Contribution per engineer hour | Profit per hour | Return visits |
|---|---|---|---|---|---|---|
| Boiler replacements | 68 | £2,650 | £316.42 | £14.34 | £4.47 | 11 (16%) |
| Repairs & call-outs | 620 | £239 | £106.62 | £37.77 | £12.88 | 46 (7%) |
| Bathroom installations | 25 | £5,300 | £615.05 | £13.37 | £3.99 | 7 (28%) |
| Servicing | 430 | £160 | £100.71 | £66.62 | £30.27 | 14 (3%) |
Ranked per job: bathroom installations, then boiler replacements, then repairs & call-outs, then servicing. Ranked per engineer hour: servicing, then repairs & call-outs, then boiler replacements, then bathroom installations. A firm with engineers waiting for work should care most about the first list. A firm turning work away should care most about the second.
When the ranking changes
Your constraint
If you are short of engineers, rank by the hour. If you are short of enquiries, rank by the job and by total profit, and ask whether the high earners per hour have enough demand to fill the diary.
Return visits
7 of 25 bathroom installations (28%) needed a second visit. Those hours belong to the original job. Unrecorded, they make the type look better than it is.
A small number of jobs
There were only 25 bathroom installations. The worst one lost £1,078. Without it, profit per job would be £236.01 instead of £183.44. Look at the individual jobs before trusting an average built from a few dozen.
Price
Holding jobs and costs the same, a 5% price rise on boiler replacements adds 42% to their contribution; on servicing, 8%. Where most of the invoice passes through to suppliers, a small change in price makes a large change in what is left. Whether customers accept it is a separate question.
What to export
Choosing one service to look at
Take the type that ranks highest on the measure for your constraint and check three things: that it has enough jobs behind it to trust, that its hours include travel and return visits, and that there is demand for more of it in your area. If all three hold, that is the work to quote for more readily, and the work your website and reviews should point at.
Take the type at the bottom and check its hourly price against your floor rate and the plumbing pricing guide. Change one thing for a quarter, then run the numbers again. The job type calculator does the first three steps in a minute.
For how a Nelvant report does this across up to five years of a plumbing firm's jobs, see UK plumbing and heating or US plumbing.
Find out which of your jobs pay.
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Your own job history, every type ranked per job and per engineer hour, with the assumptions written down and checked by a person.
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