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Labor & Overhead Costs4 formulas shown

Revenue per Technician Calculator

Revenue per technician is the field-service north star, but the headline number hides the chain behind it. Enter your year and your crew: see revenue per tech and truck, the billable hours each tech actually sells, the rate per billable hour, and what your target implies at your utilization.

Method and content reviewed October 1, 2026 · formulas checked against a test suite · runs entirely in your browser

Revenue per technician $210,000.00 — $168.27 per billable hour at 65.0% utilization.

The year

The hours behind it

Quoting, travel and admin aren't billable — the effective rate tool shows their cost

The benchmark

Your own target from the required-margin math — published trade figures are context, not goals
Revenue per technician
$210,000.00
FormulaRevenue per tech = Annual revenue ÷ Technicians
Your calculation$420,000.00 ÷ 2 = $210,000.00
The per-billable-hour row is the honest comparator: two shops can show the same revenue per tech while one bills at $95/hour and the other at $140.
Revenue per technician
$210,000.00
Revenue per truck
Asset productivity — diverges from per-tech when utilization does
$210,000.00
Billable hours per tech
48 wks × 40 hrs × 65.0% — 65% of paid hours
1,248
Revenue per billable hour
The rate the shop actually earns on selling time
$168.27/hr
Against the $180,000.00 target
Target met with room to spare
+ $30,000.00
Billable rate the target implies
What each billable hour must earn at 65.0% utilization to hit it
$144.23/hr

Read it as a chain, not a single number: revenue per tech moves with three levers — the rate per billable hour (your pricing), utilization (routing and quoting efficiency), and headcount against demand. Published trade benchmarks vary widely with business mix; the number that matters is the one your required margin demands, which the Target Gross Margin Calculator produces upstream.

Worked example

Field service: where the number comes from

A two-tech service shop bills $420,000 a year across two trucks. Techs work 48 weeks at 40 hours with a 65% billable share, and the owner's target is $180,000 per tech. (Illustrative example — use your own year.)

InputValue
Annual revenue$420,000 · 2 techs · 2 trucks
Billable hours per tech48 wks × 40 hrs × 65%
Target per tech$180,000

Result: $210,000 per tech — $168.27 per billable hour, above the $180,000 target

The per-hour row is what makes the number honest: $168.27 per selling hour at 65% utilization is a strong shop, and the target's implied $144.23 shows the utilization assumption baked into any benchmark. Same revenue per tech at 50% utilization would read $258.50/hour of pricing pressure instead.

Load this example into the calculator

The calculation

Revenue per tech$420,000 ÷ 2 = $210,000
Revenue per truck$420,000 ÷ 2 = $210,000
Billable hours per tech1,920 × 0.65 = 1,248
Revenue per billable hour$420,000 ÷ 2,496 = $168.27
vs target$210,000 − $180,000 = +$30,000 met
Target's implied rate$180,000 ÷ 1,248 = $144.23/hr

How this calculator works

Every result comes from the formulas below — the math shown is the math used. Change any input and results update instantly in your browser; nothing is sent to a server.

  • Revenue per technician: Rev per Tech = Annual Revenue ÷ Technicians
  • Billable hours per tech: Billable = Weeks × Hours per Week × Utilization %
  • Revenue per billable hour: Rev per Hour = Annual Revenue ÷ (Techs × Billable Hours)
    The honest comparator: same revenue per tech, very different rates per selling hour.
  • What the target implies: Target Rate = Target Revenue per Tech ÷ Billable Hours

What the result means

The headline KPI hides a chain: billable hours per tech (utilization) times rate per billable hour equals revenue per tech. The per-hour row is the honest comparator across shops, and the target's implied rate shows what assumption any benchmark carries.

When to use it

Use it quarterly to watch the trend, before hiring (more techs into flat demand lowers the KPI), and whenever utilization seems to slip.

Want the concept behind the math in depth? Read Revenue per Technician: The KPI That's Meaningless Without Its Chain or Effective Hourly Rate: What Your Hour Actually Pays After the Unpaid Work.

Common mistakes

  • Comparing against published benchmarks without matching the business mix.
  • Reading the KPI without the per-billable-hour split — a pricing problem and a utilization problem look identical.
  • Adding headcount to raise the number — revenue per tech falls before it rises.

Frequently asked questions

What is a good revenue per technician?

Published trade benchmarks put residential HVAC around $150,000–250,000 per tech a year and plumbing somewhat lower — but the mix of service, install and maintenance makes cross-shop comparisons noisy. The number that matters is the one your own required margin demands, computed from your overhead and income goals rather than borrowed from a benchmark.

Why track revenue per billable hour alongside it?

Because two shops can show identical revenue per tech while one earns $95 per billable hour and the other $140 — the difference being utilization, pricing, or job mix. The per-hour figure separates those causes: a rate problem is a pricing conversation, a utilization problem is a routing and quoting one.

How do I raise revenue per technician?

Through the same three levers the chain exposes: higher rate per billable hour (pricing, better job mix), higher utilization (denser routing, faster quoting, fewer windshield hours — the Truck Roll Calculator prices what driving costs), or more demand per tech (maintenance agreements that keep the schedule full in slow months). Hiring more techs into flat demand lowers the number, not raises it.

Should I measure per technician or per truck?

Both, because they answer different questions: per-tech measures how hard your people work and price; per-truck measures how hard your assets work. When the two diverge — two techs sharing a truck, or a truck idle with no tech — they point at scheduling or utilization problems that either number alone would hide.

Next step

Utilization is half the KPI — see what every hour of driving costs the schedule.

Cost the truck rolls →