How to Price and Bid Landscaping Jobs: Formulas, Examples and Mistakes to Avoid
How to price landscaping and lawn care jobs and bid profitably
In this article
To price landscaping jobs profitably, calculate your true cost per labour hour (wages, payroll taxes, insurance), add equipment and overhead costs per hour, estimate time and materials accurately for each job, apply a materials markup, then add your profit margin. Price recurring maintenance by property size, frequency and complexity, and price projects with detailed line items in a clear written bid.
Step 1: Know your costs
| Cost | Examples |
|---|---|
| Labour | Wages + payroll taxes + workers' comp + benefits |
| Equipment | Mowers, trimmers, trucks: depreciation, fuel, maintenance |
| Overhead | Insurance, software, office, marketing, owner admin time |
| Materials | Mulch, plants, stone, soil, irrigation parts |
Billable rate per labour hour = (labour cost + equipment cost + overhead per hour) ÷ (1 − desired profit margin).
Example: labour $25/hr + equipment $8/hr + overhead $12/hr = $45/hr cost. For a 20% margin: $45 ÷ 0.8 = $56.25/hr.
Step 2: Estimate time accurately
Measure the property (online maps help), count obstacles, slopes and edging, and use your crew's actual production rates. Include travel and setup time.
Step 3: Materials
Quantity × cost + markup (commonly 15–50% depending on market and handling), plus delivery and disposal fees.
Pricing maintenance
- Per visit based on property size and time
- Seasonal or annual contracts (often monthly instalments)
- Adjust for frequency (weekly vs biweekly), complexity and extras
Pricing projects
Line items for demolition, prep, materials, installation labour, equipment rental, disposal, plus contingency for unknowns.
Writing a winning bid
- Scope of work with clear inclusions/exclusions
- Timeline
- Materials specifications
- Price breakdown or packages (good/better/best)
- Payment terms (deposit, milestones)
- Warranty and insurance details
- Photos or design sketches Send fast and follow up (see How to send an invoice for invoicing after the job).
Estimating software
Field service and landscaping software can measure properties, store production rates, generate professional quotes and convert them into jobs and invoices (see What is field service management software?).
Common pricing mistakes
- Pricing by competitors instead of your costs
- Forgetting overhead and drive time
- Underestimating job time
- No price increases each year
- Not charging for disposal, permits or difficult access
(Running the business: How to grow a landscaping business.)
Frequently asked questions
How do I price landscaping jobs?
Calculate your cost per labour hour including equipment and overhead, estimate time and materials, add materials markup and your profit margin.
How do I bid on landscaping jobs?
Measure the property, estimate time and materials, price with your rates and margin, and send a clear written bid with scope, timeline and terms.
What is a good profit margin for landscaping?
It varies; many aim for healthy double-digit net margins, with projects typically earning more than basic maintenance.
How do I price lawn mowing?
By property size, time per visit, frequency and difficulty, using your hourly billable rate.
Should I charge by the hour or by the job?
Most clients prefer job pricing; calculate it from your hourly costs so every job stays profitable.
How often should landscapers raise prices?
Review annually and adjust for wage, fuel, insurance and material cost increases.
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