Work out your cost to deliver each member for a year: visits × (hours on site + travel) × your loaded labour rate, plus materials, admin and payment fees, call-backs and the cost of any member discount. Compare it with your plan revenue after GST. The break-even monthly price is that annual cost divided by 12, plus GST if you're registered. Then check how many members it takes to cover the costs you want plans to pay for.
Key takeaways
- Use your loaded labour rate, not the wage: add super, workers comp, vehicle and tools.
- Travel is often the biggest hidden cost. Denser routes are the fastest way to lift margin.
- Cost member discounts on what members actually spend, not on list prices.
- If you're registered for GST, one-eleventh of the plan price isn't yours.
- A thin plan margin can still be worth it if plans bring in repair and replacement work. Know the number either way.
How to use the calculator
- Your plan. Enter the monthly price you're thinking of charging and how many visits a year it includes. Tick the GST box if you're registered.
- Cost of each visit. Hours on site and travel per visit, your loaded labour cost per hour, and materials.
- Other costs. Admin and payment fees per member, an allowance for call-backs, and the cost of any member discount on repairs.
- Targets. The monthly costs you'd like plans to cover (a technician's wage is a good target), your expected annual churn, and how many members you think you could sign up.
The calculator shows margin per member, break-even price, members needed and lifetime margin, plus what the plan looks like at scale, including the technician hours you'll need.
What the results mean
- Margin per member. Plan revenue after GST, minus everything it costs to deliver. If it's negative, the plan is subsidised by your other work.
- Break-even price. The monthly price at which the plan covers its costs exactly. Price above it.
- Members to cover your target. How many members it takes for plan margin to pay a wage, rent or another fixed cost.
- Lifetime margin. Margin per member multiplied by how long the average member stays (1 ÷ annual churn).
Guides by trade
Each guide includes a worked example you can load into the calculator:
- Plumbers: backflow testing, hot water and drain checks.
- Electricians: smoke alarms, rental safety checks.
- Air conditioning: filling the shoulder seasons.
- Pest control: annual termite inspections.
- Pool maintenance: chemicals, routes and winter.
- Lawn and garden: even monthly billing.
The full method is in maintenance agreement pricing for trades.
What the calculator doesn't include
- Income tax. Margin is before tax.
- The work plans generate. Repairs, replacements and referrals from members are often worth more than the plan margin. Track them separately.
- Capacity. If you can't deliver the visits in your quiet months, the plan competes with your best-paying work.
- Cash timing. Annual plans paid upfront bring cash forward, and the GST on them is due on your next BAS. See subscriptions and cash flow.
Free Subscription Profit Review
Australian business owners can book a free 30-minute review with a BPAG Accountants adviser. An honest conversation about:
- whether a subscription model could work for your business
- how recurring revenue could cover your fixed costs each month
- how it could lift what your business is worth
No cost, no obligation. General information only until we understand your situation.
Frequently asked questions
How do you price a maintenance agreement?
Work out the full cost to deliver one member for a year: visit time and travel at your loaded labour rate, materials, admin, payment fees, call-backs and the cost of any discount. Add the margin you need, add GST if you're registered, and divide by 12 for a monthly price.
What is a loaded labour rate?
It's the full hourly cost of a technician: wage plus super, workers compensation, leave, vehicle, fuel, tools and phone, divided by productive hours. It's much higher than the hourly wage.
What margin should a maintenance plan make?
It depends on what the plan does for the rest of the business. Some trades accept a thin plan margin because members bring in profitable repair and replacement work. Whatever you choose, make sure the plan doesn't lose money on its own without you knowing.
Should I include GST in my plan price?
If you're registered for GST and selling to households, show the price including GST. One-eleventh of every payment goes to the ATO, so calculate your margin on the ex-GST amount.
How many members do I need?
Divide the monthly cost you want plans to cover by the monthly margin per member. The calculator does this for you.
General information only, current as at 29 October 2026. It isn't legal, tax or financial advice and doesn't consider your circumstances. Speak to a qualified adviser before acting.
Talk it through with a BPAG adviser
Free for Australian business owners: a 30-minute Subscription Profit Review on whether a subscription suits your business.
Robert Coorey, MBA
Robert is the author of The Subscription Playbook and Feed a Starving Crowd and a Director at BPAG Accountants in Sydney. More about Robert.
Sources and further reading
- ATO, Registering for GST
- ASIC, Extended warranties
- The Subscription Playbook, Robert Coorey (2022), Chapter 2
Sources checked 29 October 2026. Spotted something out of date? Tell us.