How are surcharges used?
🧭 Overview
In FieldGroove, surcharges are applied to help cover indirect or fluctuating job costs—like fuel, material volatility, or supply chain disruptions—without requiring you to manually adjust base prices. They're added on top of the base cost and are either applied to the overall price or to specific components (like labor).
This article explains:
- What surcharges are
- How each type of surcharge is applied
- How they affect pricing and margin
💡 What Is a Surcharge?
A surcharge is an additional fee applied to a quote or invoice, separate from direct labor or material costs. Surcharges allow your pricing model to remain flexible while ensuring your true costs are covered.
FieldGroove currently supports:
- Fuel Surcharge — Applied as a percentage of the final price
- Supply Surcharge — Also applied as a percentage of the final price
- Labor Uplift/Surcharge — Applied as a percentage of the labor cost only
⚙️ How Surcharges Are Applied
| Surcharge Type | Applies To | Example |
|---|---|---|
| Fuel Surcharge | Final price | 2% of total job price |
| Supply Surcharge | Final price | 2% of total job price |
| Labor Surcharge | Labor cost only | 10% of labor only |
These are configured globally or by location under Settings > Locations > [YourLocation].
📈 Why Use Surcharges?
- Offset volatile costs (fuel, materials, etc.)
- Maintain profit margins without changing every estimate
- Clearly show clients what’s included in the job cost
They are especially helpful in high-volume or regional operations where cost variability is high.
🧮 How Surcharges Affect Margin
If you don’t account for surcharges during pricing, they will eat into your margin.
To protect your profit, we recommend using the Price Factor Formula to build your surcharges into the price from the start. See:
✅ Summary
Surcharges in FieldGroove are essential tools for making sure your pricing remains realistic and profitable—even when costs fluctuate. Whether you're applying them for fuel, labor, or materials, understanding where and how they apply will ensure your margins are protected.
Need help configuring surcharges in your account? Contact Support or visit the Settings > Pricing section.