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HVAC pricing when labor, parts and refrigerant cost more

HVAC work is priced from a book, not per customer. Here’s how to work out one fair price-book increase, update service-call fees, and reprice maintenance agreements.

Price book, not per-customer prices

Most residential HVAC companies charge flat rates by task — a diagnostic fee, then a price for each repair — rather than a custom price per customer. That means the right increase is usually one percentage applied across the price book, plus a separate look at your service-call or trip fee and your maintenance agreements.

What moved

A worked example

A typical call is 25 miles round trip in a van that gets 14 mpg (1.79 gallons). With gasoline up $1.25 a gallon, fuel adds about $2.23 per call. Two hours on site plus 0.83 hours driving is 2.83 technician hours; a $2-an-hour increase in loaded labor adds $5.67. Parts up from $37 to $40 add $3.00. That’s about $10.90 more cost on a $250 call — about 4.4% — and slightly more to keep the same margin, so a round 5% price-book increase would be in the right range for this example.

Service-call and diagnostic fees

Your trip or diagnostic fee should cover the cost of getting a technician to the door: drive time and fuel at today’s rates. Recalculate it on its own — it often falls further behind than the price book because it’s rarely revisited.

Maintenance agreements

Agreements are effectively recurring customers: a fixed annual price for one or two tune-ups. Reprice them at renewal using the same cost-since-it-was-set approach, and send members a short letter. Members are often your most loyal customers; a clear explanation goes a long way.

How to tell customers

For one-off repairs, customers see your current prices when they book, so no letter is needed. For agreement members, give notice before renewal, name the reasons (technician pay, parts, refrigerant changes, fuel) and keep the member benefits front and center.

Fuel figures are U.S. Energy Information Administration monthly averages (regular gasoline $3.06 → $4.31 and on-highway diesel $3.68 → $6.25 a gallon, October 2025 → October 2026). Inflation is BLS CPI-U, up about 4.0% over the same year. Worked examples use illustrative costs — use your own.

Questions owners ask

How much should an HVAC company raise its price book?

Work out how much your cost per call has risen — labor, parts, fuel — and add enough to keep your margin. One percentage across the book is simplest; YearlyRaise’s price-book mode calculates it from your numbers.

Should HVAC companies charge a fuel surcharge?

Some do, but many build fuel into the service-call fee instead. Recalculating that fee for today’s fuel and drive time is usually cleaner than adding a separate line.