The 5 Biggest Money Leaks in Your Plumbing Business
(And How to Fix Them)
Introduction
You’re getting jobs, you’re working long hours, but somehow, your bank account doesn’t reflect your effort. Sound familiar?
For many local and solo plumbers, the problem isn’t getting work—it’s keeping more of the money you make. The right pricing, processes, and expense control can mean the difference between barely scraping by and building a profitable, sustainable business.
Let’s break down the 5 biggest money leaks in your plumbing business and—most importantly—how to fix them.
1. Giving Free Estimates Without a Plan
The Leak: Driving across town for free estimates that don’t turn into paying jobs wastes time and money—fuel, vehicle wear, and unpaid hours add up fast.
The Fix:
✅ Charge for estimates ($50-$100) and apply it to the final job if booked.
✅ Pre-qualify leads over the phone—ask about their budget, urgency, and expectations before setting an appointment.
✅ Offer virtual estimates for smaller jobs via photos or video calls.
🚰 Example: If you spend 10 hours a month on free estimates that don’t convert, that’s over $1,000+ in lost billable hours at a standard rate.
2. Underpricing Jobs & Giving "Good Guy" Discounts
The Leak: Many plumbers undercharge because they’re afraid to lose the job or they feel bad asking for more.
The Fix:
✅ Use flat-rate pricing to ensure every job is profitable—not based on gut feelings.
✅ Stop offering random discounts unless it’s part of a strategy (e.g., repeat customers, maintenance plans).
✅ Raise prices annually—materials and fuel costs are going up, so your rates should too.
🚰 Example: A plumber who charges $150 instead of $200 for a small repair is losing $500+ a month just from being "nice."
3. Spending Too Much Time on Small, Low-Profit Jobs
The Leak: Running small, one-off service calls at low prices eats into time that could be spent on more profitable jobs.
The Fix:
✅ Implement a minimum service charge (e.g., $150+) to ensure every visit is worth it.
✅ Bundle small jobs into half-day or full-day service packages instead of one-off calls.
✅ Upsell related services like water heater maintenance or pipe inspections to boost job value.
🚰 Example: If you book 3 small $100 jobs per day, that’s $300/day. But if you switch to 2 jobs at $250 each, you make $500+ with less running around.
4. Not Tracking Expenses (Or Letting Them Pile Up)
The Leak: Many plumbers don’t track small expenses, and those costs silently drain profits over time.
The Fix:
✅ Use an accounting app like QuickBooks, Wave, or Jobber to track every expense.
✅ Buy materials in bulk when possible to get discounted contractor pricing.
✅ Cut unnecessary costs—do you really need that extra software subscription or a second van payment?
🚰 Example: A plumber who spends $150/month on unnecessary tools and subscriptions loses $1,800 per year—money that could be reinvested.
5. Wasting Time Driving Instead of Working
The Leak: Too much driving between jobs, supply runs, and free estimates wastes fuel and work hours.
The Fix:
✅ Plan daily routes efficiently to minimize extra driving.
✅ Stock your truck with common parts to reduce supply runs.
✅ Schedule jobs by location to cut down on wasted travel time.
🚰 Example: Cutting just 2 hours of driving per week can free up 100+ hours per year—that’s $10,000+ in billable work at $100/hr.
Final Thoughts: Keep More of What You Earn
Your plumbing business shouldn’t just be about working hard—it should be about keeping more of what you earn.
By charging properly, eliminating time-wasters, and tracking expenses, you’ll work smarter, not harder, and finally see more profit staying in your pocket.
💧 What’s the biggest money leak you’ve noticed in your business? Drop a comment below!
FAQ
1. Should plumbers charge for estimates?
Yes! Free estimates waste time and fuel. Many plumbers charge $50-$100 for estimates and apply it to the final job if booked.
2. How can plumbers avoid underpricing their jobs?
Use flat-rate pricing, factor in all costs (labor, materials, overhead), and adjust pricing yearly to match rising expenses.
3. What’s a good minimum charge for small plumbing jobs?
Most plumbers set a minimum service fee of $150-$200 to ensure even small jobs are profitable.
4. What are the most common expenses plumbers overlook?
Frequent supply runs, tool purchases, unnecessary software subscriptions, and not tracking small purchases can add up to thousands lost yearly.
5. How can plumbers reduce fuel costs?
Plan job routes efficiently, stock common parts in the truck, and schedule jobs by location to minimize unnecessary driving.