Calculate your result
How this calculator works
This tool is designed for service businesses that need to know which clients and projects actually create profit. Revenue alone can hide meetings, support, contractor spend and rework that consume the margin. The calculator applies the displayed commercial formula to the values you enter and avoids hidden benchmark assumptions.
The formula is derived directly from the labeled inputs shown in the calculator.
Use the right inputs
Use figures from the same time period and the same cost definition. Required inputs on this calculator are Non-billable hours, Loaded hourly cost, Normal billable rate. If an amount already includes overhead or employer burden, do not add the same cost again elsewhere.
How to interpret the result
The result is decision support, not a universal target. Compare the result with your target, then change price, scope, delivery process or client mix rather than treating the percentage as a score. A change in one assumption can materially change the answer, especially when margin or billable utilization is involved.
Common mistake
Counting only planned production time usually overstates profitability.
Decision checklist
- Make sure every input covers the same period or project.
- Use actual hours and costs when they exist; label estimates as estimates.
- Re-run the calculator when scope, price, cost or capacity changes.
- Keep the result together with the assumptions that produced it.
Limitations
SheryPro does not infer taxes, employment classification, legal fee rules, contract language, client demand or jurisdiction-specific requirements. The calculator uses only the inputs shown. Changing third-party pricing is sourced and dated where a provider-specific figure is used.