Are you paying for labor you are not selling? Crew Productivity Calculator
Compare your crew's available labor capacity against the labor revenue the business actually recovered. Uses your crew count, paid hours, and labor rate.
How it works
Estimate first. Verify next.
Frequently asked questions
What is a good labor utilization rate for contractors?
A strong target is 85–90% of paid hours sold or productive. Most trade businesses actually recover 60–75%. The gap is scheduling, travel, callbacks, rework, waiting for parts, and unclear scope. This calculator sizes the gap for your business.
How do I calculate labor utilization?
Divide your actual labor revenue by your target labor revenue (crew count × paid hours × productive weeks × your labor rate × target utilization). This calculator does that math for you with your numbers.
Why are my crews busy but labor revenue is low?
Common causes: flat-rate pricing that undervalues labor, callbacks and warranty eating hours, travel and windshield time, waiting for parts or owner decisions, poor job prep, and not separating labor from material revenue. This calculator sizes the gap; the Checkup finds the cause.
How many billable hours should a technician have?
At 40 paid hours per week and 48 productive weeks, a tech has 1,920 paid hours per year. At 90% target utilization, that is 1,728 hours that should generate labor revenue. Most businesses do not track this — which is itself a finding.
Is this calculator accurate?
It estimates directional capacity gap. The real answer depends on how cleanly you separate labor and material revenue. If you cannot answer that question, that is an important finding on its own.
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This is not meant to replace a real analysis.
The calculator is a starting point. The Business Checkup is where a senior analyst verifies the numbers and finds the operational cause behind the problem.