Stop Guessing Your Profits: How to Know Exactly What You’re Making on Every Job
Every contractor has been there, you finish a job, the client’s happy, the payment comes in… and somehow, your bank account doesn’t look the way you expected.
You didn’t buy anything crazy. You worked hard. So where did the money go?
The answer is simple: you’re guessing your profits instead of tracking them.
And when you guess, you lose.
Why Guessing Your Profit is a Dangerous Game
Most contractors think they’re doing fine because they “made money”, but making money and making profit aren’t the same thing.
Profit is what’s left after every expense: materials, travel, taxes, gas, insurance, and even your time quoting or doing admin work.
If you’re not tracking those, you’re probably underestimating what each job actually costs.
That means you could be working for free more often than you realize.
The Four Numbers Every Contractor Should Know
Forget complicated accounting jargon. If you want to know exactly what you’re earning, you only need to track four simple numbers:
Estimated Cost — What you thought the job would cost before you started.
Actual Cost — What it really cost you when all was said and done.
Invoiced Total — What youv billed the client.
Profit Margin — What’s left after costs, divided by what you invoiced.
If you can’t pull those numbers up at any time, you’re guessing.
A Quick Example
Let’s say you quote a painting job at $3,000.
Your materials cost $800, labor is $1,000, and you’ve got $200 in overhead.
That leaves $1,000 in profit, great!
Except… you forgot the 3 hours you spent quoting, two trips to the store, and $75 in extra supplies.
Now your “profit” is closer to $600, and you spent 5 extra hours on unpaid work.
Multiply that mistake by a few jobs a month, and you could be losing thousands of dollars a year.
The Solution: Track as You Go
The key to accurate profits isn’t working harder — it’s tracking smarter.
That’s where Profifyit makes the difference.
It lets you:
Enter costs as they happen
Automatically calculate profit per job
Compare estimates vs. actuals in real time
See which jobs make the most money, and which ones don’t
When your numbers are that clear, you make better decisions, faster.
Why This Matters More Than Ever
In today’s economy, material costs fluctuate weekly and fuel prices change overnight.
If you’re not staying on top of your true profit, you’re not in control of your business.
Knowing your profit isn’t just good bookkeeping, it’s peace of mind.
And that’s exactly what Profifyit was built to give you.
Stop Hoping. Start Knowing.
No more surprises at the end of the month.
No more “I think I made about…”
You’ll know exactly what each job earns you, and you’ll build your business around real profit, not guesswork.
Learn more at Profifyit.com
Related reading: You’re Not Charging Enough — The Hidden Costs Contractors Forget to Include
FAQs
Q1: What’s the easiest way for contractors to track job profits?
A: Use a tool like Profifyit that combines estimating, cost tracking, and invoicing in one place. It automatically calculates profit for every job.
Q2: How do I know if my profit margins are healthy?
A: Most successful contractors aim for 20–30% profit after all expenses. Anything below that may mean you’re underpricing or missing hidden costs.
Q3: Can I track profits manually using spreadsheets?
A: You can, but it’s time consuming and prone to human error. A simple app like Profifyit automates it, saving hours each week.
Q4: Why do some jobs look profitable but aren’t?
A: Because contractors forget to include “invisible costs” , travel time, admin, tool wear, or insurance. Those small expenses add up quickly.
Q5: How often should I review my job profitability?
A: After every job. Reviewing results regularly helps you quote smarter and make real-time adjustments to pricing or process.
