Should You Charge Flat Rate or Hourly? The Truth About Plumbing Pricing

Plumbing Pros—this is one of the biggest questions we get:
Should I charge hourly (time & material) or flat rate?

In this episode of Potty Talk, we break down the pros and cons of both, and (spoiler alert) by the end, there’s no question which model sets you up for success.

If you’ve been stuck charging by the hour, dealing with price pushback, or just aren’t sure how to confidently price your plumbing work, this is your guide.

Let’s break it down.

Hourly Pricing Feels Fair—Until It Doesn’t

Charging time and materials might seem like the “honest” way to do business. But here’s the truth:

• Customers don’t understand it. They don’t know what goes into that hourly rate—and they don’t care.

• It creates friction. The second you say “$150/hour,” customers start watching the clock. Every trip to the truck, every phone call, every delay feels like money wasted.

• It kills your profits. You can’t scale, and your techs have no incentive to be efficient. Why hustle if you’re just getting paid by the hour?

“Charging hourly confuses your customer and kills your profit. Period.”

Even worse? You’re not actually charging what it costs to run your business. When you add in insurance, payroll, gas, tools, trucks, training, and taxes—$150/hour barely keeps the lights on.

And let’s be real—no customer wants to hear a line-by-line explanation of your overhead. They just want their problem fixed.

Why Flat Rate Pricing Wins Every Time

Want to reduce stress, increase profits, and create a better customer experience? Flat rate is the way.

Here’s why:

1. Clarity for You and the Customer

Flat rate pricing gives your customer the full picture up front. No surprises. No “clock watching.” Just one clear number.

“Flat rate = Confidence + Clarity + Control.”

You present the price. They say yes or no. That’s it.

2. You’re Selling a Product, Not Plumbing

Customers don’t want to buy a toilet install. They want peace of mind. Clean bathrooms. Hot showers. Fixed leaks.

Flat rate pricing helps shift the conversation away from parts and labor, and toward value.

You’re not selling time—you’re selling outcomes.

3. You Live in a Flat Rate World

Taco Bell doesn’t itemize the cost of your bean burrito. Walmart doesn’t explain how much the guy bagging your groceries gets paid.

Everywhere else in life, people expect flat rate pricing. Your plumbing business shouldn’t be the exception.

The Real Problem Isn’t Pricing—It’s Positioning

Whether you charge hourly or flat rate, your pricing must reflect the real cost of running your business—not your feelings.

Most plumbers drastically undercharge because they:

• Base pricing on what they made as an employee

• Are afraid of customer pushback

• Don’t feel “big enough” to charge more

But guess what?

“Numbers don’t lie. Feelings do.”

You don’t get profitable by guessing. You get there by knowing your numbers and building a pricing system that supports growth, profit, and freedom.

From Broke to Booked Solid: Jared’s Story

Jared Williams, now known as The Wealthy Plumber, failed twice before getting this right. He was charging $95/hour in rural Alaska and barely scraping by.

Then he found the Success Academy.

We worked with him to:

• Know his true costs

• Calculate his Honest Hourly Rate

• Transition to flat rate pricing

Within months, he was charging over $500/hour—and customers were happy to pay it.

Eventually, he sold his plumbing business for a massive win and now teaches others what he learned.

Flat rate pricing changed everything.

Want to Know Your Honest Hourly Rate?

If you’re tired of guessing, broke at the end of the month, and chasing low-value jobs, it’s time to get your numbers right.

Book a free strategy call with my team
We’ll walk you through how to price with confidence, simplify your systems, and build a plumbing business that actually works.

And if you’re not ready for a call yet, come hang out in my free Skool community—loaded with trainings, resources, and real talk with other plumbing business owners like you.
Join the free Skool group here