Partners & Pros
Restoration Job Profit Calculator
Model gross margin, contribution margin, net after overhead, break-even price, and sensitivity scenarios — using only your inputs, not estimating-platform price lists.
Margin honesty, not price-list theater
Separate gross, contribution, and net margin. See where "profit illusion" hides.
Project basics
Job type
Revenue and pricing
Collection risk
Model expected-value revenue by estimating short-pay probability and amount. Industry discussion notes slower payments and friction in restoration.
Collection risk reduces expected revenue by $975 to $31,525.
Results update live as you change any input. No submit button needed.
Gross margin
24%
Net margin
-11%
Gross profit
$7,607
Net profit
$0
Break-even price
$34,968
Collected revenue
$31,525
Direct costs
$23,918
Overhead
$11,050
Cost / day
$4,371
Profit / day
$0
Labor share
34%
Equipment share
14%
Direct cost breakdown
NEGATIVE MARGIN
This scenario loses money after overhead. Check pricing, labor, or overhead assumptions.
OVERHEAD EXCEEDS CONTRIBUTION
Profitable on gross margin but fails after overhead. This is the "profit illusion" — recheck overhead and admin time.
Pricing pressure
Do not ignore
This scenario loses money once overhead is allocated. Pricing, scope, or overhead needs adjustment.
Profit bridge
Revenue minus each cost category, then overhead, to arrive at net profit.
Sensitivity scenarios
See how margin shifts when labor or price changes. Pressure-test the deal, not just the base scenario.
Base
Base case
$0
Net margin: -11%
Price -10%
Price down 10%
$0
Net margin: -19%
Labor +20%
Labor up 20%
$0
Net margin: -16%
Conservative
Conservative (labor +20%, price -10%)
$0
Net margin: -25%
Aggressive
Aggressive (labor -15%, price +10%)
$0
Net margin: -1%
Profitability Narrative
Add context about the job. The AI will combine your notes with the computed numbers to draft a narrative you can use in an internal approval memo or partner conversation.
AI summarizes your computed outputs. It does not generate dollar amounts or pricing recommendations.
How this calculates
Restoration profitability often looks healthier on gross margin than it does after overhead and collection friction are applied.
This tool separates gross, contribution, and net margin to expose where "profit illusion" hides.
Labor burden includes employer payroll taxes, benefits, workers comp, and PTO. SBA suggests total employee cost is often 1.25-1.4x salary.
After-hours multiplier defaults to 1.5x, anchored to the FLSA overtime minimum concept. Actual premiums are company policy.
Overhead benchmarks vary by company, market, and service mix. Industry commentary cites averages around 30-40%, not the legacy "10 & 10" rule.
Sources: SBA employee cost guidance, DOL/FLSA overtime rules, RIA overhead and pricing education, industry overhead benchmarks.
Export and share
Turn this result into a professional report
Download a premium PDF or email a polished copy to yourself, a spouse, landlord, property manager, insurer, or adjuster.
Trust layer
Confidential, internal use
We do not store your job numbers or collect cost data for marketing. This tool uses only the inputs you provide — it does not connect to estimating platforms or insurer price lists.
Provided by Palm Build (palmbld.com) · Built by Nine Lives Development (ninelives.dev)
Inputs provided by you. This tool does not use insurer or estimating-platform pricing data.
Educational and internal-planning use only. It does not guarantee reimbursement, collections, or profitability.
Overhead benchmarks vary by company, market, and service mix. Use your own.
Overtime and after-hours policies vary. Confirm labor law and company policy.
Sources: SBA employee cost guidance, DOL/FLSA overtime rules, RIA overhead and pricing education.
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Talk partnershipsContractor questions
What's the difference between markup and margin?
Markup is the percentage added to cost to set price. Margin is the percentage of revenue that is profit. A 50% markup produces a 33% margin. This tool shows margin because it reveals how much of each dollar collected you actually keep.
What overhead percent should I use?
Industry commentary cites averages around 30-40%, not the legacy "10 & 10" rule. Use your own overhead from your P&L. If you do not know it, 34% is a starting benchmark — but confirm with your books.
Why does a job look profitable but still lose money?
This is the "profit illusion." Gross margin ignores overhead (office, fleet, software, admin, compliance). A job can clear direct costs and still fail to cover its share of overhead. This tool shows that gap explicitly.
Should I include equipment depreciation if I own it?
Yes. Ownership does not make the service free. Use an internal daily charge rate that reflects depreciation, maintenance, and utilization cost. This aligns with industry positions that equipment ownership should not be used to deny fair value.
Does this replicate Xactimate or another pricing platform?
No. It uses only your inputs and focuses on internal profitability math, not insurer price-list behavior. Xactware describes sophisticated market-specific pricing research that this tool does not replicate.
Can I export and share this report?
Yes. Every Palm Build tool is designed to produce a polished PDF and an email-friendly summary so you can share it with a spouse, landlord, property manager, insurer, or adjuster.
