How to include overhead
Overhead is not tied to one job, but the business cannot operate without it. It includes accounting, tools, equipment, insurance, marketing and administration.
1. Collect assumptions
Add monthly overhead and spread it across realistic billable hours or jobs, not all nominal working time.
2. Check price and risk
Update the allocation when tool prices, capacity or working methods change materially.
3. Document working rules
Translate the calculated result into a simple proposal: what the client receives, by when, how many changes are included and what happens when scope changes. The price then relates to a defined commitment.
Calculate cost and the floor first, then choose a price that fits scope and outcome value.