Free tool · UK trades & sole traders
Day Rate Calculator — UK Tradespeople
Work out the minimum day rate you need to charge to hit your income target, once you account for holidays, business costs, non-billable time, and tax. Enter your numbers below and the calculator does the rest.
How to calculate your day rate as a UK tradesperson
A sustainable day rate is not just your desired take-home income divided by working days. It needs to cover your annual business costs — van finance, insurance, tools, fuel, phone, accountant fees — plus a buffer for tax and National Insurance. For most basic-rate UK sole traders that buffer is around 25% of gross income.
Equally important is your realistic billable day count. A calendar year has around 253 working days, but once you subtract four to six weeks of holiday, sick days, non-billable admin (quoting, invoicing, chasing payments, ordering materials), and seasonal gaps, most UK sole traders end up with 170–220 billable days. Getting this number right is the single biggest factor in avoiding undercharging.
What to include in your annual business costs
Vehicle costs
Finance/lease payments, insurance, fuel, servicing, MOT, tyres.
Tools and equipment
Replacement tools, power tool batteries, specialist equipment hire.
Insurance
Public liability, employer's liability (if applicable), van insurance.
Professional costs
Accountant, bookkeeping software, trade memberships, certifications.
Phone and software
Business phone, job management software, invoicing apps.
Clothing and PPE
Work wear, safety boots, PPE — often overlooked, adds up over a year.
VAT and your day rate
If you are VAT-registered (turnover above the £90,000 threshold), your day rate is quoted exclusive of VAT. You charge VAT on top and the customer pays the gross rate. The calculator works with net (ex-VAT) figures — if you are registered, the result is your ex-VAT day rate.
If you are not yet VAT-registered, the figure shown is your total rate. Most trades businesses below the threshold benefit from keeping their pricing clean and not voluntarily registering unless they have significant input VAT on materials.
Day Rate Calculator (UK)
Work out the day rate you need to charge to hit your target income. Accounts for holidays, business costs, non-billable time, and tax. For UK contractors and tradespeople.
Income goals
What you want to actually take home after all taxes and costs.
Bank holidays, annual leave, sick days. 5 weeks is a typical UK sole trader allowance.
UK sole traders typically pay 20–30% effective tax + Class 4 NI. Use 25% as a reasonable starting estimate.
Business costs & time
Van, fuel, insurance, tools, software, phone, accountant, training — everything that's not personal.
Quoting, admin, travel between jobs, phone calls, business management. 20–30% is realistic for most sole traders.
A margin above break-even to cover unexpected costs, quiet periods, and business growth. 10–20% is typical.
Minimum day rate
£400.19
per billable day, ex VAT
Equivalent hourly rate
£50.02
based on 8 hours per day
Weekly revenue target
£1,500.71
to hit your annual goal
Annual revenue target: £70,533.33
Billable days per year: 176
Why most sole traders undercharge on day rate
The most common mistake is to divide a target salary by 365 — or even by 250 working days. Neither accounts for the reality of self-employed work: holidays, sick days, bank holidays, non-billable time (quoting, admin, travel), quiet periods, and business costs all reduce the hours you can actually charge for. If your rate doesn't cover all of that, you are working harder than you think for less than you realise.
The other undercharge trap is ignoring tax. If you want £40,000 in your pocket after Class 4 NI and income tax, you need to earn considerably more than £40,000. At the basic rate this is typically around 25–30% on top of your target — more if you tip into higher-rate territory.
The calculator above does all of this in one step.
Day rates by trade in the UK (2026 reference)
These are approximate market-rate ranges. Actual rates depend on region (London and South East consistently run higher), experience, niche specialism, and whether materials are included or itemised separately.
| Trade | Typical day rate (ex-VAT) | Notes |
|---|---|---|
| Electricians | £240–£480 | Higher for EICR, EV charger installs |
| Plumbers | £220–£440 | Emergency callouts typically quoted separately |
| Gas engineers | £240–£400 | Annual service rounds improve predictability |
| Roofers | £200–£440 | Multi-day jobs allow slightly lower day rates |
| Builders / labourers | £160–£360 | Higher for project-management roles |
| Painters & decorators | £160–£320 | Seasonal demand affects achievable rates |
| Cleaners | £80–£200 | Domestic vs commercial varies significantly |
| Gardeners | £120–£280 | Landscaping higher than maintenance rounds |
| Window cleaners | £80–£200 | Round density is a larger driver than day rate |
Figures are indicative only. For a personalised calculation, use the calculator above with your actual costs and targets.
Frequently asked questions
What is the difference between a day rate and an hourly rate?
A day rate is a fixed price for a full working day, regardless of whether the work takes 6 or 10 hours. It is more common for contractors, builders, and project-based tradespeople. An hourly rate is charged per hour and is more common for service trades and callout work. Day rates are generally higher than 8× the hourly rate to account for travel, setup, and tool handling.
Should I quote a day rate or a fixed price?
Day rates work well when the scope of work is variable or unknown upfront. Fixed prices work better when you can clearly define the job — a room repaint, a boiler service, a garden design — because clients tend to prefer the certainty and it protects you from scope creep. Using your day rate as the basis for building fixed-price quotes gives you a floor below which you should not go.
How much should I account for non-billable time?
Most sole traders underestimate this. A realistic range is 20–35%: this includes driving between jobs, quoting and estimating, phone and email admin, purchasing materials, invoicing, and general business management. If you have a complex business with a lot of quoting or a wide service area, budget for 30% or more.
Does my day rate include VAT?
If you are VAT registered, your quoted day rate should be stated ex-VAT and VAT added separately on the invoice. If you are not registered (below the £90,000 threshold), your day rate is your total price with no VAT addition.
How do I know if my day rate is too low?
Use this calculator: enter your actual take-home target, holidays, costs, and non-billable time. If the result is higher than what you currently charge, you are undercharging. The most common cause is not accounting for non-billable time and business costs correctly.
Know your rate. Now get paid at it.
WrkGenie helps you quote confidently, invoice on site, and track what every customer owes — so you always get paid what your rate says you should. From £19.99/month.
Once you've worked out your day rate
Your day rate is the floor for your fixed-price quotes. The next step is putting it into practice:
- → How to price a job in the UK \u2014 use your day rate as the base for fixed-price quotes
- → Quoting software for UK trades \u2014 build and send quotes based on your rate
- → How to quote a job \u2014 what to include, how to present it, and what to do when they say yes
Day rate vs fixed price: when to use each
Day rates suit jobs where the scope is unclear at the start — investigative work, reactive callouts, and ongoing maintenance contracts. Fixed prices are better for defined-scope jobs where the customer wants certainty and you can confidently estimate the time required.
Even when quoting fixed prices, use your day rate as the internal floor. If a bathroom fit looks like three days of work, the fixed price should be no less than 3 × your day rate, plus materials — otherwise you are subsidising the customer from your own income.
Frequently asked questions
How do I calculate my day rate as a UK sole trader?
Start with your desired take-home income, add your annual business costs, and gross up for tax and NI (typically 25% for basic-rate UK sole traders). Divide the total by your realistic billable days — which is your working days minus holidays, minus non-billable time like admin and quoting (usually 20–30%). The calculator above handles all of this automatically.
What is a good day rate for a UK tradesperson?
Typical day rates vary by trade and region. As a rough guide: electricians and plumbers commonly charge £240–£480/day; builders and roofers £200–£400/day; painters and decorators £160–£320/day; gardeners £120–£280/day. London and South East rates tend to run higher. Use the calculator with your actual costs and income target to find the right number for you.
How much non-billable time should I account for?
A realistic range for most sole traders is 20–35%. This includes quoting and estimating, driving between jobs, phone and email admin, material purchasing, and invoicing. If you have a large service area or a high volume of small jobs requiring individual quotes, budget 30% or more.
Does my day rate include VAT?
If you are VAT registered, your day rate should be quoted ex-VAT and VAT added separately on the invoice. If you are not VAT registered (below the £90,000 threshold), your quoted rate is the total with no addition.
Related tools and guides
- Hourly rate calculator — calculate your per-hour rate
- Profit margin calculator — check if a job was worth it after costs
- Free UK invoice generator — create a professional invoice in minutes
- How to price a job (UK guide) — full guide to pricing for tradespeople