How to price commercial cleaning contracts in New Zealand

A step-by-step method for pricing commercial cleaning contracts in NZ: measure the scope, estimate hours, build up true labour cost, add overheads and margin, then GST.

By Sprux · Updated 15 November 2026 · 4 min read

Underpricing is one of the quickest ways to grow a cleaning company into trouble. A contract that looks fine on paper can lose money once you add travel, supervision, supplies and the hours a site really takes. This guide walks through a simple, repeatable way to price commercial cleaning work in New Zealand, with a worked example. The numbers in the example are illustrations only. Use your own costs.

Step 1: Get the scope in writing

Before any numbers, pin down exactly what the client wants. Walk the site, ideally at the time the cleaning will happen. Record:

  • areas and approximate floor space by type (offices, bathrooms, kitchens, meeting rooms, stairs, entrances)
  • number of toilets, basins, kitchens and bins
  • floor types (carpet, vinyl, tiles) and any specialised surfaces
  • frequency: nightly, a few times a week, weekly and periodic tasks like windows or carpet cleaning
  • access: after-hours entry, alarms, keys, parking, security inductions
  • consumables: who supplies toilet paper, hand towels, soap and bin liners.

Turn this into a written scope and a site checklist. It becomes the basis of your quote, the cleaner's instructions and your proof later on. (Our free checklist template can help.)

Step 2: Estimate the hours per visit

Labour is usually the largest cost in commercial cleaning, so the hours estimate matters most. Two ways to estimate:

  • Task by task. Time each task from your own experience (a bathroom with four toilets, vacuuming an open-plan floor, emptying 30 bins) and add them up.
  • From your own history. If you clean similar sites, look at how long they actually take. Real check-in and check-out data beats any rule of thumb.

Add time for setting up, packing away and walking between floors. Be honest. If a site really takes 2.5 hours, pricing it at 2 hours means someone is either rushing or unpaid.

Step 3: Work out your true hourly labour cost

The wage rate is only the start. Your real cost per hour worked includes:

  • the hourly wage (from 1 April 2026, the adult minimum wage in New Zealand is NZ$23.95 an hour, and many companies pay more)
  • holiday pay, public holidays and sick leave entitlements
  • employer KiwiSaver contributions
  • ACC levies
  • paid time that isn't on site, such as training, travel between sites where it's paid, and handovers
  • supervision and quality checks.

Many owners add these up as a percentage on top of the base wage. Work out your own figure from last year's payroll rather than borrowing someone else's.

Step 4: Add direct costs

  • Supplies and consumables: chemicals, cloths, mop heads, bin liners and, if you supply them, washroom consumables. These can be a big line on sites with heavy bathroom use.
  • Equipment: vacuums, scrubbers and their wear and replacement.
  • Travel: vehicle costs, parking and any travel time you pay for.

Step 5: Add overheads and margin

Overheads are the costs of running the business that aren't tied to one site: insurance, software, phones, accounting, uniforms, your office and your own time. Spread them across your contracts, for example as a percentage of labour cost or a fixed amount per site per month.

Then add profit margin. Margin is not a luxury; it's what pays for a cleaner calling in sick, a broken vacuum or a slow month. Decide your target margin and stick to it.

Step 6: Convert to a monthly price, then add GST

Most commercial clients prefer a fixed monthly price. Multiply the cost per visit by visits per year and divide by 12. GST in New Zealand is 15%. Quote clearly whether prices are plus GST or GST inclusive. Business clients usually expect prices plus GST.

A worked example (illustrative only)

An office cleaned 5 nights a week. These figures are made up to show the method, not market rates.

ItemExample figure
Hours per visit2.5 hours
Visits per year5 × 52 = 260
Labour hours per year650 hours
True labour cost per hour (wage plus on-costs, your own figure)NZ$32.00
Labour per year650 × 32 = NZ$20,800
Supplies, equipment and travelNZ$2,400
Overheads allocatedNZ$2,300
Total cost per yearNZ$25,500
Price with a 20% margin on price (cost ÷ 0.8)NZ$31,875
Monthly priceNZ$2,656.25 + GST
Monthly incl. 15% GSTNZ$3,054.69

Note the difference between margin and markup. Adding 20% to cost (markup) gives a lower price than a 20% margin on the final price.

Step 7: Write a quote that protects you

  • Attach the scope and checklist so it's clear what's included and what isn't.
  • State the frequency, times and any periodic tasks separately.
  • Say how price reviews work, for example an annual review and when minimum wage increases.
  • Set out how complaints are raised and fixed.
  • Explain how you'll show the work was done, such as check-in records and before and after photos. Clients value this, and it supports your price.

Step 8: Check the contract after you win it

Your estimate is a guess until the site is running. Compare actual hours against quoted hours for the first two months. If a site consistently takes longer, find out why: scope creep, an untrained cleaner or a bad estimate. Then fix the process or talk to the client.

Sprux shows hours per site from real check-ins and check-outs, so you can see which contracts run over. See timesheets or see Sprux pricing.

Sources

Sources checked 15 November 2026.