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A profitable care plan charges for reliable operations and access to expertise, not for marking up a $15 server. The price must cover hosting, backups, monitoring, software, payment fees, routine maintenance, client communication, emergency reserve, and profit. Most agencies should offer three tiers, track actual minutes and incidents for six months, and reprice clients whose workload no longer matches their plan.
List direct costs per client: allocated hosting, backup storage, CDN/WAF, uptime and transaction monitoring, security scanning, fleet-management tool, premium plugin licenses, transactional mail, billing fees, and reports. Add labor for updates, testing, backup review, reporting, support, and account administration. Use loaded labor cost—salary or contractor rate plus taxes, benefits, management, and overhead—not the employee’s hourly wage.
Add an incident reserve. If a portfolio averages one two-hour emergency per 20 clients each month, allocate the expected labor across those plans. Add bad debt, refunds, currency movement, renewal increases, and target gross margin. A simple formula is:
Price = (direct tools + expected labor + incident reserve + allocated overhead) / (1 – target margin)
If tools cost $15, labor $30, reserve $8, and overhead $7, total cost is $60. At a 50% gross-margin target, price is $120—not $72. This is an illustration; use measured local costs.
| Plan | Typical scope | Broad market starting range* |
|---|---|---|
| Care | Hosting, daily backups, monitored updates, uptime/security, business-hours support | $50–$150/month |
| Growth | Care plus staging, report, performance review, faster response, small change allowance | $150–$350/month |
| Commerce/Critical | Dedicated resources, frequent backups, transaction checks, priority response, deeper testing | $350–$1,000+/month |
*These are orientation ranges, not universal prices. Region, complexity, included hours, response commitments, and business value can justify prices outside them.
Make the middle plan the best fit for the typical retained client. Do not inflate the top tier merely as a visual anchor; it must include a support and recovery design the team can actually deliver.
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Care can include managed hosting, SSL, daily off-server backup with stated retention, weekly monitored WordPress updates, uptime monitoring, security checks, and support during named business hours. Include an on-demand restore after an agency-caused update issue, but distinguish customer-requested historical restoration or content recovery.
State storage, traffic or fair-use boundaries and site type. A brochure plan should not silently absorb WooCommerce, membership, LMS, multilingual search, or large imports. Exclude redesign, new features, copywriting, SEO, accessibility remediation, hacked-site cleanup predating the plan, and third-party subscription fees unless listed.
Growth can add a staging workflow for major updates, monthly health report, Core Web Vitals review, database cleanup, analytics review, priority queue, and perhaps 30–60 minutes of minor content or development. Define whether unused time expires; rollover creates a future labor liability.
Faster response means first human acknowledgement, not guaranteed resolution. A four-hour response during business hours is different from four-hour recovery at midnight. Use plain language. Add an hourly or fixed menu for work beyond the allowance.
Stores and memberships need more frequent backups, checkout/login monitoring, webhook checks, scheduled-action review, staging, performance capacity, and careful deployments. Put them on dedicated or isolated resources when revenue and dynamic load justify it. Include a defined incident channel and escalation.
Price from business exposure and service cost. A store earning $100,000 monthly should not sit on a $79 plan that gives the agency no budget to respond during a launch. Conversely, do not promise active-active architecture or 24/7 recovery that the client does not need. Ask for peak revenue periods, tolerance for data loss, and recovery target.
Routine updates and compatibility checks belong in care. Custom features, complex plugin conflicts, integration changes, design work, and content campaigns belong in projects or a development retainer. Publish an hourly rate or prepaid block for out-of-scope work.
Define “minor change” with examples and time limit. Replacing text or an image on an existing page may qualify; building a landing page, repairing a CRM integration, or changing checkout does not. Track requests through a help desk so informal messages do not erase margin.
Know the upstream model. WP Engine and Kinsta meter plan entitlements such as visits, sites, storage, and workers. Rocket.net meters storage and bandwidth despite unmetered visitor/worker language on current standard tiers. Cloudways charges by server and backup storage. Direct cloud panels add VPS, object storage, and transfer.
Set a threshold for moving a client to a higher plan or dedicated server. Pass through extraordinary bandwidth/storage at a published rate or require upgrade. Notify before avoidable overages where possible. Keep a 20–30% capacity buffer rather than selling the last gigabyte.
Annual prepayment can improve cash flow and reduce collection work. A discount of roughly one month is common, but the agency assumes service and refund obligations for the full term. Keep enough cash to deliver. Spell out renewal date, cancellation, non-refundable components, and pro-rated treatment as local law requires.
Do not fund long-term obligations with money already spent. Track deferred revenue with an accountant. If upstream hosting is annual, align renewal notices so the client can decide before the agency becomes committed.
Review at least annually and when the site adds commerce, membership, traffic, storage, integrations, or a stricter response requirement. Give notice before increases. Use actual data: tickets, minutes, incidents, backup size, traffic, server resources, and tool renewals.
Legacy underpriced clients need a choice: move to current plan, reduce scope, or offboard cleanly. Gradual increases can preserve relationships, but permanently subsidizing support prevents investment in quality.
Track monthly recurring revenue, direct tool cost, labor minutes, gross margin, tickets, emergency hours, failed payments, churn, backup failures, and infrastructure usage by client. Review outliers monthly. If most clients buy the same add-on, incorporate it into a tier; if a feature is rarely used, stop paying portfolio-wide for it.
Cloudways can be a strong cost base because several predictable sites share a managed server, but only when monitoring and technical labor are counted. Premium hosts can produce higher net margin if their support prevents agency hours. Optimize total service cost, not the smallest invoice.
Either approach works. Bundling emphasizes outcomes; separating improves transparency. In both cases define the hosting platform, limits, care scope, and ownership.
There is no universal target. Many service businesses need substantial gross margin to fund sales, management, idle capacity, and risk. Calculate from the agency’s costs and financial plan.
Usually no. Rollover creates unpredictable liability. If offered, cap the amount and expiration and price for likely use.
Only with staffed coverage or a contracted partner. A solo owner with a phone is not a resilient 24/7 service.
Build three plans from measured direct cost, loaded labor, incident reserve, overhead, and target margin. Use Cloudways or another standardized platform to control infrastructure cost, but sell updates, recovery, monitoring, and accountable support. Track every client for six months, then raise price, reduce scope, or move workloads when the original assumptions fail.
Related reading: Recurring Revenue From Hosting · Kinsta Agency Plan Review 2026 · ManageWP Review 2026