Overhead Rate

To help you calculate profitability, there is a field in Location Settings where you can enter your Overhead Rate (operating costs) for each location. This article shows our recommended method of figuring out your overhead costs.

Additional Resources


Overhead Rate (Hourly)

This number is an hourly rate, keeping in mind there are 24 hours in a day.

  • List all of your monthly bills for a location - rent, utilities, internet, cleaning, etc.
  • If you have any bills/expenses that are not billed monthly, divide them down into a monthly equivalent.
  • Add the monthly pay of any salary employees.
  • Add together all of these totals. Divide that sum by the total number of hours in a month (730).
    • This number was calculated by the following: 24 (hours in a day) * 365 (days in a year) = 8760 hours. 8760 hours / 12 months = 730 hours per month.
  • The sum of your expenses / 730 = the number of your Overhead Rate. We have found the industry average to be ~ $15 - $25.

By calculating everything at an hourly rate, you will be able to monitor break-even/profitability progress down to the current day/week/month/etc. The system will automatically calculate the rest of the numbers.

  • Total Revenue = Income + Other Income
  • Total Costs = Cost of Goods Sold (COGS) + Returns and Allowances + Indirect Labor + Overhead Rate

Entering Your Overhead Rate in RepairQ

1. Log into your RepairQ location. On the Navigation Bar, go to Settings -> Location Settings.



2. On the Settings Overview page, click Location Info.



3. On the Location Info page, scroll down until you see the field marked Overhead Rate. Enter your calculated amount and click Save to submit your change.




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