Project Profitability Analyzer

That project felt busy. But was it profitable? Most agencies don't know until it's too late.

The Calculation

Project Revenue - (Direct Labor × Loaded Cost) - Direct Expenses = Gross Profit

Gross Profit ÷ Revenue = Gross Margin

What's Loaded Cost?

Salary + benefits + taxes + overhead allocation. For a $70K employee, loaded cost is often $90-100K. That's $45-50/hour before you make any profit.

Tracking Reality

Track time by project, even if you don't bill hourly. Compare estimated hours vs actual. Learn which project types are actually profitable and which feel busy but lose money.

Benchmark

Target 50%+ gross margin per project. Below 40% consistently means pricing or efficiency problems. Above 60% might mean you're undervaluing your work.