Free calculator

Maintenance agreement break-even

A maintenance plan can lose money on the visits and still pay off through repairs and loyalty, or it can just lose money. Put in your plan’s numbers to see which.

Your numbers

Every default is an example, not an industry figure. Replace it with yours. Everything stays in your browser.

Monthly price × 12 if you bill monthly.

Tune-ups or inspections included in the plan.

Tech loaded hourly cost × hours on site.

Filters, cleaner, small parts included in the visit.

Vehicle and drive-time cost. The truck roll cost calculator can work this out.

Average repairs members buy per year before their discount, from your FSM.

Discount members get on repair work.

Your gross margin on repair work before the member discount.

Share of members who renew. Capped at 99% for the lifetime math.

How we calculate it

  1. Visit cost per member = visits × (labor + parts + drive per visit)
  2. Plan profit before repairs = plan price − visit cost per member
  3. Break-even plan price = visit cost per member
  4. Repair cost = repair work at list × (1 − repair margin)
  5. Repair profit = repair work at list × (1 − member discount) − repair cost
  6. Profit per member per year = plan profit before repairs + repair profit
  7. Average member lifetime = 1 ÷ (1 − renewal rate) years; lifetime profit = profit per member × lifetime

Profit here is gross profit on the plan and repairs only; it doesn’t include office time, marketing or replacement sales that members may bring. Lifetime uses a simple constant-renewal model and isn’t discounted.

Fix this with

One new workflow a week

For service shop owners and their teams. No hype; unsubscribe whenever.

Get the weekly email