Ad budget calculator: work back from your revenue goal

Start from the revenue you want, not the budget you have, and see how many jobs and leads it takes and roughly what ads would cost.

Short answer

To set an ad budget, start with the monthly revenue you want from ads. Divide by your average job value to get jobs, divide jobs by your lead-to-job rate to get leads, then multiply leads by your cost per lead. Enter your own numbers below to see the budget that implies and what share of revenue it is.

Most owners pick a budget first and hope. This ad budget calculator works the other way round, so you can see whether a goal is realistic for your close rate and market before you spend.

Use the calculator

Booked jobs needed
Leads needed
Ad budget per month
Ad budget per week
Ad budget as share of revenue

The starting numbers are round placeholders, not industry averages. Replace every one with your own figures. Nothing you type leaves your browser.

What the result means

The budget shown is what you pay the ad platform. It leaves out your management fee, call tracking, software and the cost of answering more calls. If the share of revenue looks high, the numbers are telling you something real: your lead-to-job rate, job value or cost per lead needs work before more spend makes sense.

Which input to question first
If the budget looks too highCheck
Many leads neededLead-to-job rate. Faster call-backs and better qualifying often move it more than a new campaign.
High cost per leadKeywords, locations, ad schedule and landing page. See the Google Ads guides.
Low job valueWhether you are targeting small jobs. Bid on higher-value services instead.

Minimum budgets

Below a certain spend, a campaign cannot collect enough clicks to learn from. My recommendation is at least $1,500 a month in ad spend per platform for paid search or social. If your result is lower than that, treat it as a small test, or put the money into your Google Business Profile and a review process first. The channel suggester can help you choose where a smaller budget goes.

Mistakes to avoid

  • Setting a revenue goal that assumes every lead is answered. Check your missed calls first.
  • Using last year's cost per lead after a big change in competition or season.
  • Counting repeat work as new-customer revenue.
  • Raising budget before tracking is reliable.

Want this checked against your real account?

These calculators give you a first read on your own assumptions. They cannot see your account, your market or how quickly your phone is answered. LiveLeadsLane is a new, founder-led remote practice run by Prakhar Kirsali from India. Paid ads management starts at $375 a month for one platform, with ad spend paid by you directly to the platform, and a recommended minimum of $1,500 a month per platform. Book a free call and bring your numbers, or see the published prices. Nothing here is a promise of leads or revenue.

Frequently asked questions

How do I decide my monthly ad budget?
Pick the revenue you want from ads, divide by average job value for jobs, divide by your lead-to-job rate for leads, then multiply by your cost per lead. The calculator above does these steps. Treat the answer as a plan to test, not a promise.
What percentage of revenue should go to advertising?
There is no single right percentage, because it depends on margin, how competitive your market is and how fast you want to grow. Use the share shown by the calculator to compare your plan with your margin, and check the figure with your accountant.
What if my cost per lead is unknown?
Use a conservative estimate, run a small test with tracking in place, and replace the estimate with real data after a few weeks. Google Keyword Planner can give a rough starting point for click costs.
Does the budget include the agency fee?
No. It is the amount paid to the ad platform only. Add management fees and tools separately. LiveLeadsLane's published fees are on the pricing page, and ad spend is always paid by you directly to the platform.
Can I use this for Local Services Ads?
Yes for a rough plan, but use the Local Services Ads budget calculator for the weekly budget and monthly cap, because those ads charge per valid lead and have their own budget rules.
Is the result a guarantee?
No. It reflects only the numbers you enter. Real results depend on your market, season, competitors, tracking and how quickly your team answers.

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