Pricing and business
Roofing job price: m² rate, materials markup and VAT
- where
- roof area (m²)
- labour rate per m² (£/m²)
- materials cost to you (£)
- markup on materials (%)
- extras: strip-out, skip, scaffold, trims (£)
- VAT rate (%)
Explain this equation
Builds a quick roofing quote from an area rate, materials with markup and any extras, then adds VAT if you are registered.
Labour is priced per square metre, so area times rate. Materials cost you M; the markup adds your percentage for buying, handling and risk. Extras are fixed sums. Together they make the net price. VAT is a percentage of the net, and the total is net plus VAT.
A straightforward sum of priced parts, with percentages applied as multipliers.
Sense check: 20 m² at £45 is £900; £900 of materials at 15% is £1035; net £1935, VAT at 20% £387, total £2322.
Watch out: if you are not VAT registered set v to 0. Do not mark up VAT you have reclaimed on materials; price materials net of VAT if you are registered.
Builds a quote from roof area, your labour rate per m², marked-up materials and extras, then adds VAT if you are registered.
Enter your values to see the result.
Good to know
The standard VAT rate is 20%. You must register for VAT if your taxable turnover in any rolling 12 months goes over £90,000 (or you expect it to in the next 30 days alone). If you are not registered, set the VAT rate to 0. Scaffold, skip hire and disposal of old felt or asbestos are easy to forget; put them in extras.
Common mistake
Quoting a domestic customer without saying whether VAT is included. Always show the VAT and the total.
Limits
Simple job costing. It does not handle the VAT Flat Rate Scheme, the construction reverse charge between VAT-registered contractors under CIS, or retentions.
Sources
Results are calculations from the published methods and figures shown, and depend on the data you enter. Follow the roof covering manufacturer’s fixing specification, BS 5534, BS 8000-6, BS 6229, the Lead Sheet Training Academy guidance and Building Regulations. Wind uplift and structural design need a competent designer.