Maximize Profitability with Effective % Recoverables Tracking for Your Trade Business

Running a successful trades business—whether you're a plumber, electrician, HVAC technician, or builder—requires more than just delivering quality work. Managing your costs and revenue effectively is equally important.
One crucial metric that can significantly impact your profitability is % Recoverables—the ratio of hours worked versus hours that can be charged to the customer. In this blog, we’ll explore why tracking % Recoverables is essential for your trade business and how a robust job management system like Tradie Biz can help you optimize this key metric.
What Are % Recoverables and Why Do They Matter?
% Recoverables refers to the percentage of hours your team spends on billable work that can be recovered through customer charges. Essentially, it measures how efficiently your business converts employee hours into revenue.
For example:
If your team works 40 hours in a week, but only 30 hours are billable to clients, your % Recoverables is 75%.
Why is this important?
Understanding and improving this metric directly influences your
gross profit margin. A high % Recoverables indicates your business is effectively turning labor into revenue. Conversely, a low percentage may point to inefficiencies or non-billable activities eating into your profits.
Why Tracking % Recoverables Is Critical for Your Trade Business
1. Identify Non-Billable Activities
Not all hours worked are directly billable—administrative tasks, travel time, breaks, or downtime can reduce your % Recoverables. Tracking this metric helps you identify how much time is spent on non-revenue activities, enabling you to implement strategies to minimize these and increase billable hours.
2. Improve Workforce Efficiency
Analyzing your % Recoverables regularly allows you to spot patterns or bottlenecks. Are certain jobs or teams less efficient? Are specific tasks leading to lower recoverable hours? This insight helps you target training, optimize workflows, and plan jobs more effectively.
3. Enhance Pricing Strategies and Job Estimations
Accurate % Recoverables data helps refine your job costing and pricing models. Knowing your typical recoverable hours ensures you set prices to cover costs and maintain healthy profit margins.
4. Monitor Business Performance Over Time
Tracking % Recoverables over weeks, months, or years offers a clear picture of your business’s health. A declining trend signals the need to investigate and address underlying issues before profitability is compromised.
How a Job Management System Like Tradie Biz Can Help
Managing these metrics manually can be complicated and time-consuming. That’s where a B2B job management system like Tradie Biz comes in. Here’s how it simplifies tracking % Recoverables and boosts your overall business performance:
Time Tracking Integration:
- Employees can clock in and out directly within Tradie Biz, providing accurate data on hours worked. You can categorize hours as billable or non-billable, gaining real-time insights into recoverable hours.
Job Costing and Reporting:
- The platform generates detailed reports on hours spent per job, client, or team. This visibility helps you analyze % Recoverables at a granular level, enabling smarter decision-making.
Automated Data Collection:
- No more manual entries or guesswork. Automated tracking ensures data accuracy, saves time, and reduces errors.
Performance Monitoring:
- Use dashboards to track key metrics, including % Recoverables, and set targets for continuous improvement.
Streamlined Invoicing:
- Accurate tracking of billable hours ensures correct invoicing, improving cash flow and profitability.
Tips to Improve Your % Recoverables
Train Your Team:
- Educate employees on the importance of accurately recording hours and focusing on billable work.
Plan Jobs Efficiently:
- Proper scheduling minimizes downtime and travel, increasing recoverable hours.
Reduce Non-Billable Activities:
- Automate administrative tasks and streamline workflows wherever possible.
Review and Adjust Pricing:
- Ensure your pricing reflects your typical recoverable hours to maintain healthy profit margins.
Regularly Review Metrics:
- Make tracking % Recoverables a routine part of your business review process.
Final Thoughts

Understanding and optimizing your % Recoverables is vital for increasing profitability and keeping your trades business competitive. With the right tools—like Tradie Biz’s comprehensive job management system—you can accurately track hours, identify inefficiencies, and make data-driven decisions that grow your business.
Start leveraging your recovery metrics today—maximize your billable hours and take your trades business to the next level!