How to Price a Roofing Job [7-Step Pricing Plan]

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đź“ťKey Takeaways:

  • The more accurately you know the job scope, the precise estimate you can create.
  • Price your services on hourly rates if you are a beginner, or the job is not well defined.
  • Charge a fixed rate when the job scope is crystal clear and you have enough experience to calculate your expenses.

The roofing industry can create jobs in the United States at a 5% rate from 2020 to 2030. The roofing contractor’s market size in the United States is close to $56.1 billion in 2022.

With the increasing demands, you need to ensure that you price your roofing services accurately to achieve desired profits.

But there are multiple aspects that you need to cover to price a roofing job that can help you drive great profits and deliver a quality customer experience.

We have gathered important information on how to price a roofing job that can help you streamline our estimation process.

So, without further ado, let’s get started.

7 Steps to Price a Roofing Job Accurately

Multiple steps can be included to estimate the roofing costs without shrinking your profit margins and degrading your conversion rate. But we have tailored the best steps to help you in the pricing roofing jobs process and also you can focus on how to grow your roofing business

1. Get precise measurements

Getting precise measurements can help you determine how many squares can you install, which can help estimate the material and the labor required. Your client won’t have the exact measurement estimate; you should confirm the number yourself even if they have.


You need to book a specific time with your clients to get the extracted measurement of the roofing area to help you estimate the task’s pricing.

In standard roofing terminology, a single square equals 100 square feet. You can get the precise measurements of the roof by following the below-listed procedure.

Determine ground-level squares

Firstly, you need to determine the external dimensions of the house and divide the number by 100.

For example, if the client’s space is estimated at around 30 ft. x 50 ft, the external dimension of the area is 1500 square feet. You must divide it by 100 to get the total number of squares required. You need 15 ground-level squares to cover the roofing task in our example.

The result is for the flat roof area, but most houses are pitched, so you need further calculation to get the precise measurement.

Calculate the roof pitch

The steep or the roof’s pitch can be expressed as a ratio. If the ratio is 4:12, for instance, the roof rises 4 feet for every 12 feet of horizontal length.

The roof pitch can be coined as low, high, or medium. The house has a low roof pitch if the ratio is 5:12 or lower. The roof pitch is considered a medium if the pitch ranges between 6:12 and 9:12, and for high roof pitches, the ratio should be between 10:12 and 12:12.

Multiply the ground-level squares with a pitch multiplier

The final step is to multiply the total number of ground-based squares with the pitch multiplier of the pitch ratios to get the exact number of squares required.

Different pitch ratios have their multiplier that can be used to get the exact measurement of the client’s roof.

Look at the below pitch multiplier table to extract the desired results of the roof pitch.

Roof pitch Multiplier
3:12 1.15
4:12 1.20
5:12 1.24
6:12 1.24
7:12 1.30
8:12 1.35
9:12 1.40
10:12 1.40
11:12 1.55
12:12 1.70

So, if the roof pitch ratio is 4:12, you need to multiply 1.20 with total ground-level squares. As we calculated the total ground-level square to be 15, the total measurement is estimated at around 18.

The final roof squares required for completing the job are 18. The number can help you estimate the job and effectively cover your expenses and profits.

2. Refer to building codes

You need to ensure that you look up the building codes for a better cost estimation process. There are specific building codes that can restrict the use of the material.

refer to building codes

For example, if you work in enclosed housing estates, you need to use specific materials and colors to maintain uniformity with housing estates. Similarly, if the client has specific requirements, you can note the details to cover in your estimation process.

You need to inspect the roof properly to get the exact pitch, measurement, and locations of unusual roof features like skylights, satellite dishes, and solar panels.

3. Calculate labor costs

The labor cost is the most vital segment for calculating your estimated process. You need to consider different factors while finalizing your labor cost.

Calculate labor costs
Finalize the labor hours

You need to calculate the total hours it will take for your team to complete the roofing job. Once done, multiply the number of employees with the total hours.

For example, if it can take three people 30 hours to complete the job, then the total labor hours are estimated to be around 90.

You can also look at previous estimates for similar job types that can help you ‌price the labor hours effectively and with no hassles.

Calculate the hourly labor cost

You also need to focus on the total cost of labor by adding the hourly wage, taxes, insurance, and worker’s compensation you pay to your employees.

If you can’t do the calculation, you can estimate the average hourly rate of roofers in the industry and then add a fixed percentage of expenses, like insurance and taxes, to get an exact hourly labor cost for your roofing business.

Add the total labor cost

Now, you need to multiply the total labor hours by the hourly labor wage of your employees to get the accurate labor cost to complete the roofing jobs.

Don’t add up both the numbers because that will cause degrading profits and increase your roofing business expenses.

Save Your Material Costs

InvoiceOwl helps you save materials with their descriptions, and rates that you can add to the estimate with a single click.

4. Calculate material costs

Once the labor costs are calculated, it’s time to estimate the material cost. Based on the requirements, you must prepare the list of roofing materials required for the task completion.

calculate material costs

Although the most commonly required roofing material is asphalt shingles, materials like solar panels, metal roofing, rubber slate, stone-coated steel, and even green roofs with plants can also be used based on roofing requirements.

You can get in touch with the supplier that can offer you discounted rates on the bulk supply and deliver excellent quality roofing materials.

You can calculate the procurement price and sell it to the clients at a retail price, including your service cost. You can also offer a slight discount to allure the customers to choose your roofing material and service.

Tally the material cost thoroughly, including flashing, underlayment, nails, and vents that the roofing contractors can ignore. You can also try to upsell the clients with the best roofing material quality that can help you increase your profits.

5. Know your miscellaneous expenses

Miscellaneous expenses or overhead costs, including uniforms, office rent, insurance, accounting, and different software integrations, need to be included in your overhead expenses linked with completing the task.

You can either include the overhead expenses in your total roofing cost or list them separately to ensure transparency with your prospects.

You need to calculate the overhead cost per week and then estimate the weekly labor hours. Then, divide the hours by the overhead costs to get an hourly figure.

If the overhead cost per week is $800 and the weekly labor hours are 80, then the hourly figure will be $10.

That implies for every labor hour; you need to charge a minimum of $10 to your client to cover your overhead expenses.

If you need 50 hours to complete the roofing task, you need $500 to cover the overall overhead expenses.

6. Don’t forget taxes

taxes deduction

You need to include taxes in your roofing cost estimation to ensure that you don’t end up paying taxes on your business profits. You can charge your clients with taxes on service and roofing material that can help you save from paying taxes on your business profits.

You need to hire the best accountants to manage your cash flow and the hassles of tax filing. They can assist you in calculating the total taxes per job ‌you need to include in your accurate estimate.

7. Add your profit margin

Once you have estimated the total cost, you need to add the roofing markup amount to your products and roofing services that can help you drive business profits.

You need to ensure that you don’t overprice your job estimate to lose the opportunity to convert the prospect into a client or underprice the estimate that can trim your profits.

You must maintain a balance with your overall profit margin percentage and offer quality roofing company services at fair price.

These steps can help you finalize the accurate and precise roofing project cost and achieve your desired business outcomes.

As a roofing contractor, you must choose between two pricing standards in the service industry that you must consider during the estimation process.

When to Charge Fix Rates

The fixed rates are ideal for roofing jobs with years of experience in the industry and if you have a crystal clear idea about the project’s scope. You need to be thorough with your estimations while charging a fixed price.

But sometimes, the complexities can arise in the project, and your team needs to put in extra effort to get the work done within the limited time.

Sometimes, the fixed prices can help you earn great profits, but if you don’t have a smooth business workflow, it can result in limited profits with more extra effort and pressure management.

If you want to bypass the hassles of fixed prices, you can choose hourly rates as the preferred price estimation base.

When to Charge Hourly Rates

If you are new to the roofing business and have handled a limited number of roofing jobs, then you should choose hourly rates to earn decent profits and deliver a quality customer experience to your clients.

Also, if you are unsure about the project’s scope and don’t want your employees to come under serious pressure during the project completion, then the hourly estimation pricing model is the ideal choice.

But you need to avoid the manual estimation process to avoid different inefficiencies and human errors that can cause your serious business losses.

You need professional roofing contractor software that can automate and streamline your estimation process and help you achieve your desired goals with maximum efficiency.

We have done the research work and filtered the leading estimation and invoicing software to help you enhance your existing roofing business workflow.

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Let InvoiceOwl help you with quick professional estimates and win more jobs in less time.

Frequently Asked Questions
    1. How to calculate the roofing estimation cost?You can add all your roofing operations expenses like labor, materials cost, fuel costs, vehicle maintenance, transportation costs, largest material cost, and other costs involved, then add a markup value to quote the final selling price for the roofing bid.

    1. Is the roofing business profitable?Yes. The roofing business demand is rising, and the industry requires professionals who can deliver excellent services at a reasonable roofing price. The profit-making scenario is great, and it all depends on how much profit you can make.

    1. How can estimation software help in improving the estimation process?An estimation software can remove the inefficiencies of the manual estimation process and help you adapt to the new changing scenarios.

  1. What is a great profit margin in the roofing industry?The average gross profits can range between 20 and 40% in the roofing job. Once the expenses are covered, the profits are reduced to 8-10%.

InvoiceOwl Is Your Go-To Software

InvoiceOwl is the leading estimate and invoice software for contractors that can help you ‌create quick and effective estimates within seconds.

You can access the free roofing estimate template using the software to help create a well-vetted estimate with precise total roofing job cost.

You can send quick and real-time notifications to your clients that contain the estimates and invoices to help them make quick decisions.

The software offers multiple features like recording and generating sales reports, invoicing processes, and creating an estimation that strengthens your finance management ecosystem.

The software can help you remove the manual estimation and invoicing process management that can scale your business efficiency and help you save your time and efforts.

The smooth and intuitive UI/UX offered by InvoiceOwl makes it easier for your employees to access the wide range of features to streamline your financial management operations.

Access a and transform your roofing cost estimation process.

Author Bio
Jeel Patel
Jeel Patel

Jeel Patel is the Founder of InvoiceOwl and is the main curator & writer of the content found on this site. With ideals of quality, commitment, and perseverance, he believes in creating lasting business relationships with the clients.