Concrete profit margins

What one-owner concrete businesses report to the IRS, where the money goes on a concrete job, and a calculator to check your own margin.

68.8%Gross margin, IRS sector
15.7%Net margin incl. owner pay
$102,220Average receipts per return
What do you want to work out?
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Leave at 15% if you do not know it yet. The business mode works it out.
Gross margin
35.7%
$1,250 over job costs
55.6%Markup
$725Net profit
20.7%Net margin
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How we got this

  1. Job cost$1,200 materials + $900 labor + $150 other = $2,250
  2. Gross profit$3,500 − $2,250 = $1,250
  3. Gross margin$1,250 ÷ $3,500 price = 35.7%
  4. Markup$1,250 ÷ $2,250 cost = 55.6%
  5. Overhead share15% of $3,500 = $525
  6. Net profit$1,250 − $525 = $725 (20.7%)
MarkupGives a margin of
25%20%
33%24.8%
43%30.1%
50%33.3%
67%40.1%
100%50%

Concrete profit margin benchmarks

The IRS reports what one-owner businesses filing Schedule C earn, by sector. Concrete falls under Specialty trade contractors. For tax year 2023, 2,521,516 returns reported $257.8 billion in receipts, $80.4 billion in cost of sales and $40.5 billion in net income less deficit (the table gives thousands of dollars):

BenchmarkValue
Gross margin68.8%
Net margin, owner pay included15.7%
Average receipts per return$102,220
Average net income per return$16,054

The owner's own draw is not an expense on a Schedule C, so that net margin is mostly the owner's wage, not profit on top of it.

Where the money goes in concrete

Concrete is materials, labor and equipment, with a big crew on pour day. Weather and short loads are risks.

For a worked example, our driveway cost calculator puts concrete driveway, installed at $8.00 to $19.00 a sq ft, typical $13.50, and treats about 50% of that as labor. On the typical price, that is about $6.75 of labor and $6.75 of materials, equipment and everything else, before your overhead and profit.

Where concrete margin leaks, and how to win it back

  • Short or extra loads
  • Weather delays
  • Tear-out priced too low
  • Base prep underestimated
  • Crew size on pour day

Ways concrete contractors raise margin: order the right volume with a waste factor; price base prep from the site visit; charge for tear-out separately; schedule pours around the weather.

Check your concrete prices against the costs

The typical national prices from our sourced calculators are a check on whether your prices leave room for margin:

ServiceTypicalRange
Concrete driveway, installed$13.50$8.00 to $19.00 a sq ft
Garage floor epoxy$7.50$3.00 to $12.00 a sq ft
Tear out old driveway$2.83$1.33 to $4.33 a sq ft
Concrete patio demolition$1.50$1.00 to $2.00 a sq ft
Concrete cleaning$0.32$0.30 to $0.40 a sq ft

Work out the margin on each line of your menu, not just the big jobs. The usual concrete menu: concrete driveway, installed; patio slab; sidewalk or walkway; garage floor epoxy; tear out old driveway; concrete patio demolition; crack repair; slab leveling; concrete sealing; concrete cleaning.

Overhead comes out of the margin before profit. In concrete it includes general liability insurance, which Insureon's customers who are concrete contractors pay an average of $119 a month for; commercial auto at $413 a month on the same figures.

Work out your own margin

Put one recent concrete job into the calculator above, or switch it to "My margin for the year" to set your year next to the IRS benchmark. A 50% markup is a 33% margin; the markup calculator shows the rest.

Sources

Last checked October 9, 2026. This page is general information, not legal or tax advice. Rules change and differ by state and city, so confirm with the agency named before you act.

FAQ

What is a good profit margin for a concrete business?

As a benchmark, one-owner businesses in specialty trade contractors reported a 68.8% gross margin and a 15.7% net margin to the IRS for 2023, with the owner's pay inside that net figure.

How can concrete contractors raise their margin?

Order the right volume with a waste factor, price base prep from the site visit and charge for tear-out separately.

What are the biggest costs in concrete?

Concrete is materials, labor and equipment, with a big crew on pour day. Weather and short loads are risks.

Where do concrete contractors lose margin?

Short or extra loads, weather delays and tear-out priced too low.

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Concrete Profit Margins: Benchmarks and a Calculator | Koira