Rex says
Money math without the spreadsheet headache. Plug in your numbers and I'll show you exactly where the dollars land.
Try a scenario
Click to load — tweak from there.Inputs
Result
Gross margin
37.1%
Monthly revenue
$126,208
Gross profit
$46,848
Net profit after overhead
$12,848
Net margin
10.2%
Break-even utilization
61.1%
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One click, a permanent link with your numbers baked in.
How to use this
- 1Enter billable headcount.
- 2Enter available hours per person per month.
- 3Enter utilization (%).
- 4Enter average bill rate ($).
- 5Enter loaded cost per hour ($).
- 6Enter monthly overhead ($).
- 7Read your gross margin on the right — it updates as you type.
- 8Hit Share to keep the scenario or send it to someone.
About this calculator
Agency profit lives in two numbers: utilization and the gap between bill rate and cost rate. Everything else is noise until those two are healthy.
Worked example
Using the values the calculator loads with:
Inputs
- Billable headcount: 8
- Available hours per person per month: 160
- Utilization: 68 %
- Average bill rate: 145 $
- Loaded cost per hour: 62 $
- Monthly overhead: 34000 $
Results
- Gross margin: 37.1%
- Monthly revenue: $126,208.00
- Gross profit: $46,848.00
- Net profit after overhead: $12,848.00
- Net margin: 10.2%
- Break-even utilization: 61.1%
What each field means
Inputs
- Billable headcount
- The billable headcount used in the calculation. Starts at 8 so you have a working example on load.
- Available hours per person per month
- The available hours per person per month used in the calculation. Starts at 160 so you have a working example on load.
- Utilization (%)
- The utilization used in the calculation, measured in %. Starts at 68 % so you have a working example on load. Accepted range: 0–100 %.
- Average bill rate ($)
- The average bill rate used in the calculation, measured in $. Starts at 145 $ so you have a working example on load.
- Loaded cost per hour ($)
- The loaded cost per hour used in the calculation, measured in $. Starts at 62 $ so you have a working example on load.
- Monthly overhead ($)
- The monthly overhead used in the calculation, measured in $. Starts at 34000 $ so you have a working example on load.
Results
- Gross margin
- Returned as a percentage and shown as the headline result. It recalculates instantly whenever you change an input, so you can compare scenarios without reloading.
- Monthly revenue
- Returned as a money amount in US dollars. It recalculates instantly whenever you change an input, so you can compare scenarios without reloading.
- Gross profit
- Returned as a money amount in US dollars. It recalculates instantly whenever you change an input, so you can compare scenarios without reloading.
- Net profit after overhead
- Returned as a money amount in US dollars. It recalculates instantly whenever you change an input, so you can compare scenarios without reloading.
- Net margin
- Returned as a percentage. It recalculates instantly whenever you change an input, so you can compare scenarios without reloading.
- Break-even utilization
- Returned as a percentage. It recalculates instantly whenever you change an input, so you can compare scenarios without reloading.
FAQ
How does the agency utilization & margin calculator work?
Agency profit lives in two numbers: utilization and the gap between bill rate and cost rate. Everything else is noise until those two are healthy. The underlying maths is: Gross margin = (Bill rate − Cost rate) ÷ Bill rate; revenue = Heads × Hours × Utilization × Bill rate.
What do I need to enter?
6 values: billable headcount, available hours per person per month, utilization, average bill rate, loaded cost per hour, and monthly overhead. Each field starts with a sensible default, so you can change one number at a time and watch the result move.
What does the gross margin result mean?
It is returned as a percentage and updates live as you edit the inputs, so you can compare two or three versions of a scenario in a few seconds.
Is this calculator free, and do I need an account?
Yes, it's free, and no account is required. Nothing you type is stored on our servers — the maths runs entirely in your browser.
How accurate is the result?
It applies the standard formula exactly, so the arithmetic is precise. Results are estimates before tax, fees, and inflation unless an input explicitly covers them.
Who is this tool for?
It's built for anyone comparing money scenarios before committing — budgeting a payment, sanity-checking a quote, or seeing what a change in rate or term actually costs.
Accuracy and limitations
- Results are estimates before tax, fees, and inflation unless an input explicitly covers them.
- Rates are treated as fixed for the whole period — variable-rate products will drift from this projection.
- This is educational maths, not financial advice. Check anything contractual with the lender or your accountant.
Related tools
Cite this calculator
Writing about this topic? Grab a citation — every link helps keep these tools free.
RevenueLab. (2026). Agency Margin Calculator. Retrieved from https://www.revenuelab.fyi/toolbox/agency-margin
<p>Source: <a href="https://www.revenuelab.fyi/toolbox/agency-margin" target="_blank" rel="noopener">Agency Margin Calculator — RevenueLab</a> (2026).</p>
Source: [Agency Margin Calculator — RevenueLab](https://www.revenuelab.fyi/toolbox/agency-margin) (2026).