How this calculator works
Most rush fees are a flat 25% picked because it sounds reasonable. Sometimes that is generous and sometimes it does not cover the damage, and neither case is easy to defend when a customer pushes back.
The real cost of a rush is the margin on whatever it displaces, plus any overtime, expedited shipping or premium materials it forces. Size the fee against that and it becomes a number you can explain.
The formula
- Displacement cost = rush hours × normal hourly profit × share displaced
- Overtime cost = overtime hours × (overtime rate − normal rate)
- Total cost of rushing = displacement + overtime + expedited shipping + expedited materials
- Rush fee = total cost ÷ (1 − margin on the fee)
What to watch for
- Only the premium above your normal rate counts as an overtime cost. The base hours were going to be paid regardless, so charging the full overtime rate double-counts them.
- Displacement is the honest core of a rush fee. If you genuinely have slack capacity, lower the displaced share and the fee falls — which is fair, and makes the number defensible.
- A rush fee is a service with its own margin, not just cost recovery. Disrupting a schedule has a value beyond the hours.
- When the justified fee is very large, the better answer is often a later date rather than a difficult conversation about a number the customer will resent.
Common mistakes
- Using a flat percentage regardless of how much the rush actually displaces.
- Charging the full overtime rate rather than the premium above normal.
- Forgetting expedited shipping, which is often the largest direct extra.
- Absorbing rushes to keep a customer happy, which teaches them every order is negotiable.
Frequently asked questions
How much should I charge for a rush order?
Enough to cover the margin on the work it displaces plus any direct extras, with a margin on top. A six-hour rush that displaces scheduled work worth $38 an hour of profit, needs three hours of overtime and $35 of expedited shipping justifies a fee near $200 — well above the flat 25% most shops apply.
Is a 25% rush fee reasonable?
Sometimes, but it is a coincidence rather than a calculation. On a large order with slack capacity, 25% can be generous. On a small order that forces a weekend, it will not come close. Working from displacement gives you a number you can explain, which is what makes it stick.
Should I charge a rush fee if I am not busy?
A smaller one. If nothing is displaced, lower the displaced share and the fee drops to the direct extras plus margin. That is honest, and it means the fee rises naturally when you are genuinely busy — which is exactly when it should.
How do I explain a rush fee to a customer?
In terms of what it moves, not what it costs them. "Fitting this in this week means pushing two other jobs back, plus overnight shipping on the materials" is a reason. A percentage with no explanation reads as opportunism, even when the number is identical.