Package pricing

How big a discount can your package take before it stops paying?

Bundles are great for filling the diary — but a discount that looks generous can quietly wipe out your margin. Set your floor, see the most you can knock off, and know the package still pays its way.

Combined value of services (ex GST)

Add up your normal prices for everything in the bundle, before GST.

Variable cost of the package

Products and consumables used — not rent or wages. Just what each pack actually consumes.

Discount you're offering

How much off the full value the customer gets.

Floor margin you won't go below

The lowest gross margin you'll accept on the bundle.

Packages sold per month

Roughly how many you expect to sell each month.

Margin on this package

64.7%

At 15.0% off you keep 64.7% margin — $165 gross profit per package, $2,475 a month.

Most you can discount

45.5%

Above this you breach your floor margin.

Customer pays (inc GST)

$280.50

What you charge for the bundle, GST included.

Profit given away per package

$45

The discount in real dollars off the full value.

Monthly package profit

$2,475

Gross profit across the packages you sell — before rent and wages.

Where it goes

Variable cost$90

Gross profit$165

Discount given away$45

Margin is gross margin on the discounted ex-GST price: (price − variable cost) ÷ price. Variable cost = products and consumables only, not rent or wages, so monthly profit is gross profit, not take-home. GST is added at 10% on the discounted price (inc = ex × 1.10). Max discount is the point where margin hits your floor; if it shows zero, your variable cost is already too high to discount and still clear the floor — rework the bundle or the floor. Figures are a guide, not tax or pricing advice.

A working tool, not financial advice. It uses the figures and assumptions you enter — check them against your own numbers and your accountant before any pricing, wage or financial decision. Award and tax figures change (often each 1 July); verify current rates at fairwork.gov.au and ato.gov.au. Shear Profit gives no tax or financial advice.

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