How much to charge
for a tow
A tow is not one charge, it is a set of them — hook-up, mileage, recovery work, and whatever else the job actually needed. This is how each one is built, and what drives the figure up or down.
There is no national rate for a tow
Anyone quoting you a single figure for “a tow” is describing their own market, not the industry. Rates vary enormously by region, by the equipment a job needs, and by what it costs an operator to run a truck where they operate.
What is consistent is the structure. Nearly every tow invoice is built from the same handful of charges, and once you understand what each one covers and what drives it up, you can price your own work sensibly and show the customer exactly how the total was reached.
This guide explains how tow pricing is structured. It does not set rates for you, and it is not advice on what you are permitted to charge — in some markets, and particularly for police-ordered or contracted work, rates are regulated or fixed by agreement.
The building blocks
The charges that make up a tow
Each of these is a separate line on the invoice. What follows is what the charge covers and what moves it up or down — not a rate, because the rate is yours.
Hook-up fee
Securing the vehicle to the truck — the loading itself, billed once per vehicle.
What drives it
Whether the vehicle rolls, steers, or has to be dragged onto the deck. A car in a car park is not the same job as a car in a ditch. Heavy-duty and rotator equipment costs more to run than a flatbed, and the fee reflects that.
Loaded mileage
The distance driven with the vehicle actually on the truck, billed per mile.
What drives it
Fuel, driver time, and the wear of hauling weight. The deadhead leg out to the call is usually covered by the hook-up or a call-out charge instead — decide which, and say so on the invoice.
Recovery and winching
Pulling a vehicle out of a ditch, off a guardrail, or out of a snowbank — work beyond a straightforward load.
What drives it
Time, equipment, and risk. This is the charge with the widest range, because a simple winch-out and a two-hour recovery with a rotator are genuinely different jobs.
Storage
Each day the vehicle sits on your lot after the tow.
What drives it
Your yard's running cost — land, security, insurance, and the space the vehicle occupies. Unlike the tow, this charge accrues, so it is the one that can outgrow everything else on the invoice.
After-hours surcharge
Call-outs outside normal working hours — nights, weekends, holidays.
What drives it
What it costs you to have a driver available at that hour. Usually a percentage uplift or a flat addition, and it should be its own visible line rather than folded into another charge.
Roadside services
Jump starts, lockouts, tyre changes, fuel delivery — help that does not involve towing.
What drives it
The service call plus any parts or supplies. If you supply fuel or a battery, separate the goods from the labour so the customer can see what they paid for.
Working out your own rate
The mistake is starting from what the operator down the road charges. Start from what it costs you to put a truck on the road, then check the local rate as a sanity test.
- 1
Cost your operating hour
Truck payment or lease, insurance, fuel, maintenance, tyres, licensing, dispatch fees, and your own time. Divide by the hours you actually work, not the hours in a week.
- 2
Add the margin you need
The margin covers the work you do not get paid for, seasonal slumps, and growth. It is not the same as profit on a single job.
- 3
Build the figures from there
Set the hook-up so a typical job covers your operating hour, and the per-mile rate so a longer tow is worth taking. Check that a short local tow still makes money.
- 4
Check the local market
Now compare. If you are far above it, look at what makes you different. If you are far below it, you are likely losing money on every job.
Why itemising the total gets you paid
A customer is not usually disputing your rate. They are disputing a number they cannot account for. A single figure for “a tow” invites the question “why so much?”, and there is no answer on the page — so the argument happens on the roadside or at the counter.
An itemised invoice answers the question before it is asked. Five days of storage at a stated daily rate is arithmetic, not opinion. A winch-out billed separately from the hook-up explains why the job cost more than a straightforward tow would have. The customer can check every line, and a line that checks out does not get argued about.
- The hook-up covers loading, not distance — say so and the mileage line makes sense
- Storage compounds, so show the daily rate and the number of days
- Recovery work is a different job from a tow, and should be its own line
- An after-hours call-out is a visible charge, not a mysterious uplift
Frequently asked questions
- How much should I charge for a tow?
- There is no single national rate. What you charge depends on your market, your equipment, your insurance and licensing costs, and the rates your local competitors set. The practical approach is to build the figure from the charges that make up a tow — hook-up, loaded mileage, and any recovery work — rather than picking one number for "a tow".
- What is a hook-up fee?
- A flat charge for securing the vehicle to the truck, billed once per vehicle regardless of how far it travels. It covers the work of loading rather than the distance, so it is the same for a two-mile tow and a twenty-mile one.
- Should I meter the loaded miles or the total miles?
- Most operators bill loaded mileage — the distance driven with the vehicle actually on the truck. The deadhead leg out to the call is usually built into the hook-up fee or a call-out charge rather than metered separately. Whichever you choose, state it clearly so the customer can check the calculation.
- How do I charge for storage?
- Storage is a daily rate applied for each day the vehicle is on your lot. Bill it as a line with your daily rate and the number of days as the quantity, and record the intake date so the customer can see exactly which days they are being charged for.
- Can I charge more for nights, weekends and holidays?
- Many operators apply an after-hours surcharge for call-outs outside normal working hours. Whether you can, and how it must be disclosed, depends on your market and — for police-ordered or contracted work — the terms of the agreement. It should be a visible line on the invoice, not folded into another charge.
- How do I work out my own rates from scratch?
- Start from your costs rather than from competitors: the truck payment or lease, insurance, fuel, maintenance, tyres, licensing, dispatch fees and your own time. Work out what an operating hour costs you, add the margin you need, and then build your hook-up and per-mile figures so a typical job covers that. Check what the going rate is locally afterwards, as a sanity check rather than as the starting point.
- Is this pricing guide free?
- Yes. The guide and the invoice generator are free, with no signup and no credit card.
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