Pricing guide
How to price landscaping jobs
Last updated
The pricing formula, step by step
price = (labour + materials + overhead) ÷ (1 − profit margin)Jobber's example: an $800 job cost at a 20% margin is $800 ÷ (1 − 0.20) = $1,000.
- 1Measure the propertyLawn area, bed area, edging length or lot size. Satellite measuring gets you the numbers before a site visit; confirm on site.
- 2Estimate labourCrew hours for the job × your loaded hourly labour cost (wages plus payroll taxes and insurance).
- 3Add materialsQuantities from the measurements (yards of mulch, square feet of sod), plus waste and delivery.
- 4Add overheadJobber's method: weekly overhead ÷ weekly labour hours = overhead per hour, × the job's hours.
- 5Apply your marginPrice = total cost ÷ (1 − margin). Add a minimum charge so small jobs still cover the drive.
Worked example: a mulch job
Illustrative costs for four yards of mulch over two front beds. Swap in your own wages, material prices and overhead.
| Cost | How | Amount |
|---|---|---|
| Labour | 2 crew × 3 h × $45/h | $270 |
| Mulch | 4 yd³ × $42 | $168 |
| Delivery | 1 load | $75 |
| Overhead | $1,500/week ÷ 100 h = $15/h × 6 crew-hours | $90 |
| Total cost | $603 | |
| Price at 20% margin | $603 ÷ 0.80 | $753.75 |
Markup vs margin
Margin is profit as a share of the price; markup is profit as a share of cost. To hit a target margin, divide your cost by (1 − margin).
| Target margin | Divide cost by | Equivalent markup |
|---|---|---|
| 10% | ÷ 0.90 | 11.1% |
| 15% | ÷ 0.85 | 17.6% |
| 20% | ÷ 0.80 | 25.0% |
| 25% | ÷ 0.75 | 33.3% |
| 30% | ÷ 0.70 | 42.9% |
How each service is usually priced
| Service | Usually priced | Guide |
|---|---|---|
| Lawn mowing | per 1,000 sq ft, per visit, with a per-visit minimum | How to price lawn mowing |
| Mulch & rock beds | per cubic yard installed (area × depth ÷ 324) | How to price mulch installation |
| Sod & seeding | per square foot installed, plus site prep | How to price sod installation |
| Concrete curbing | per linear foot, by style | How to price curbing |
| Snow plowing | per push by size tier, or per season | How to price snow removal |
Mistakes that cost money
Confusing markup and margin
A 20% markup on $800 is $960, a 16.7% margin. To earn a 20% margin you need a 25% markup ($1,000).
Leaving out overhead
Insurance, trucks, phones and software are real costs. If they're not in the price, they come out of profit.
Guessing the size
A quote built on a guessed area is a guess. Measure the lawn, beds and edges, then price from the numbers.
No minimum charge
Drive time and setup are the same for a tiny job. A minimum keeps small stops profitable.
Related
Sources
- Jobber: How to price landscaping jobs (updated 2025-02-20), accessed October 12, 2026
Frequently asked questions
What profit margin should a landscaping business make?
Jobber suggests aiming for a 15% to 20% profit margin on landscaping work. Your costs, region and service mix decide what's realistic, so track actual job costs and adjust.
What is the difference between markup and margin in landscaping?
Markup is profit as a percentage of cost; margin is profit as a percentage of price. A job costing $800 sold for $1,000 has a 25% markup and a 20% margin. Price for a target margin with price = cost ÷ (1 − margin).
Should landscapers charge by the hour or by the job?
Most customers prefer a fixed price per job or per visit, and fixed pricing rewards a fast crew. Use your hourly costs to build the price, then quote it by area, volume or length rather than by the hour.
How do I calculate overhead per hour for a landscaping business?
Divide your weekly overhead costs by the labour hours your crews work in a week. For example, $1,500 of weekly overhead over 100 labour hours is $15 per hour, which you add to every job for each crew-hour it takes.
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