Flat-rate pricing: definition, example, and why it matters
The customer knows the cost up front, and the contractor's incentive shifts to efficiency. Auto repair, HVAC, and plumbing rely on flat-rate books that list standard hours per task.
Short definition. Charging a fixed price for a job regardless of how long it actually takes.
Category. Flat-rate pricing is a invoicing term used by service businesses when billing customers.
How Glo Invoice handles it. Glo Invoice builds flat-rate pricing into the invoice itself, so you don't track it on paper or in a spreadsheet.
Frequently asked questions
What does flat-rate pricing mean?
The customer knows the cost up front, and the contractor's incentive shifts to efficiency. Auto repair, HVAC, and plumbing rely on flat-rate books that list standard hours per task.
Related terms
Hourly rate — The price a contractor charges per hour of work.
Labor rate — The hourly rate billed for skilled labor — distinct from a tech's actual wage.
Estimate — A non-binding written quote of the cost of a job, sent before work begins.
