Guide
How to price electrical work
Per-circuit vs. per-hour, material markup, permits, and when to walk away. A practical pricing guide for electricians.
Per-circuit vs. per-hour: which pricing method is right for your electrical business
For predictable new construction rough-in, per-circuit pricing is cleaner and more profitable — you know exactly what each circuit takes and you can price it accordingly. For service and repair work, per-hour protects you because scope is impossible to predict before you open the wall. Most electricians use both: per-circuit for new work, per-hour for service calls.
How to price a panel upgrade
Panel upgrades have become one of the most price-sensitive items in residential electrical work. Get your material cost for the panel, breakers, and service entrance cable. Add your labor hours at your loaded rate (wages + overhead + profit). Factor in the permit, which is typically $200–$400 for a residential upgrade. Then add 15–20% for unexpected conditions — you will find aluminum wiring, double-tapped breakers, or non-code work in most panels built before 1990.
Setting your material markup
The industry standard for electrical material markup is 20–40% over your cost. Smaller contractors at the lower end; larger operations with significant inventory at the higher end. Never pass materials at cost — your time sourcing, loading, and handling materials is a real cost. Price it.
Why permits are always a separate line
Folding permits into your overhead or labor rate is a mistake. Permit fees vary by jurisdiction and project scope. If you estimate $150 and the actual fee is $380, you absorb that difference. Always list permits as a pass-through at actual cost, estimated if the fee is not confirmed. "Permit at actual cost — estimated $200" protects you and is standard practice.
How to handle customers who want to skip the permit
When a customer asks you to work without a permit, the answer is no — full stop. Unpermitted electrical work is a liability for you (license at risk), for the customer (insurance and sale issues), and for anyone who lives in the house. "I cannot pull a permit for this job" should be the end of the conversation, not the start of a negotiation.
When to walk away from an electrical job
Some jobs are not worth taking. Knob-and-tube rewires that the customer wants done in stages with no clear end date. Service calls in houses with extensive non-code work where you become the owner of every problem. Customers who negotiate aggressively before the job starts — they negotiate even more aggressively when the invoice comes. Your time is finite. A customer who costs you money is costing you the next customer who would have paid you well.
Charging for the estimate itself
For service calls and diagnostic work, charge for your time. A flat service call fee of $75–$150 is standard and filters out customers who are price-shopping with no intention of hiring. For larger projects — panel upgrades, new construction — most electricians still estimate for free because the job size justifies it. Whatever your policy, state it clearly when the customer calls.
Quick reference: electrical pricing ranges
- • Service call / diagnostic: $75–$150 flat fee
- • New circuit installation: $150–$300 per circuit (varies by complexity)
- • Panel upgrade (100A to 200A): $1,500–$3,000 installed
- • Outlet or switch replacement: $100–$200 each
- • GFCI outlet installation: $150–$250 each
- • Ceiling fan installation (existing wiring): $100–$200
- • EV charger installation: $500–$2,000 depending on panel distance
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Line items, customer signature, deposit collected on approval.