HHandyPebble
CUSTOMER PROFITABILITY CALCULATOR

How much does this
customer cost me?

Compare two accounts by the money they bring in, the time they consume, and the special costs they create. The biggest customer is not always the most valuable one.

Your customer numbers stay in this browser tab.

No account, upload, database, or AI. HandyPebble does not save or receive the names or figures you enter.

Annual customer comparison

Put revenue and effort side by side.

Use a full year or the same reporting period for both customers.

INPUT
Revenue
Gross customer revenueBefore refunds and discounts
$$
Refunds and creditsMoney returned or credited
$$
Discounts and concessionsPrice reductions given to keep the account
$$
Time spent on the account
Service or delivery timeHours spent doing the work the customer bought
hrhr
Support and account timeEmail, calls, complaints, reporting, and follow-up
hrhr
Internal labor cost per hourPay, payroll burden, or your best loaded hourly estimate
$$
Customer-specific costs
Direct product or delivery costInventory, materials, contractors, or direct fulfillment
$$
Extra shipping or rush deliverySpecial handling that this customer caused
$$
Payment or sales feesPercentage charged on net customer revenue
%%
Other account-specific costsTravel, gifts, onboarding, commissions, or custom tools
$$

Results update as you type.

BUSINESS ANSWER

Customer B is worth more—even with less revenue.

CUSTOMER A

Customer A

REAL PROFIT$1,420
Gross revenue
$12,000
Effective margin
11.8%
Cost to serve
$9,180
Total staff time
102 hr
Profit per staff hour
$13.92
CUSTOMER B

Customer B

REAL PROFIT$3,100
Gross revenue
$7,000
Effective margin
44.3%
Cost to serve
$3,900
Total staff time
30 hr
Profit per staff hour
$103.33
Customer A$1,420
Customer B$3,100

The business logic

Revenue is only the top line.

The comparison follows the same model for both accounts, so time-heavy and exception-heavy customers cannot hide behind a large sales number.

01

Net customer revenue

Gross revenue minus refunds, credits, discounts, and concessions.

02

Loaded labor cost

Service time plus support time, multiplied by your internal labor cost per hour.

03

Real customer profit

Net customer revenue minus direct costs, labor, special delivery, fees, and other account-specific costs.

04

Effective margin

Real customer profit divided by gross customer revenue. This shows how much of the original top line survives.

HP
I built this for the account that is always “just one more thing.”

A high-revenue customer can still be a weak account when discounts, support, rush requests, and senior staff time keep piling up.

Important limits

A management estimate, not an accounting statement.

This calculator is designed for internal customer and account review. Use the same reporting period and the same cost method for both customers. Labor cost should include the real cost of the people doing the work—not just their take-home pay—when that information is available.

It does not allocate general company overhead unless you enter that customer’s share under other account-specific costs. It also does not determine taxable income, revenue recognition, or whether a cost is deductible.

Read IRS Publication 334 for general small-business tax guidance