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Practical trade business guide · By Yes AI

How to explain your callout fee before booking

Published 6 min read

A callout fee is a charge for attending a job, usually covering travel and the first period on site. A customer who first hears about it on the invoice has reason to dispute it. This guide covers how to word the fee, where to state it, and what Australian consumer guidance says about showing total prices.

Quick answer

State the callout fee before the booking is confirmed, then repeat it in the booking confirmation and on the quote or invoice. Say what it covers, such as travel and the first block of time on site, whether it includes GST, and what changes after hours or on weekends. Consumer Affairs Victoria tells tradespeople to tell customers whether a quote includes call-out fees and any weekend or public holiday rates.

A locksmith at a suburban front door talking a homeowner through the booking confirmation on a phone

What is a callout fee?

A callout fee is the charge for getting a tradesperson to the site. Businesses structure it in different ways. Some charge a flat fee that includes travel and the first 30 or 60 minutes on site, then bill labour by the hour. Some charge travel only. Others credit the fee against the job if the customer goes ahead with the quote, or call it a diagnostic or inspection fee. Each approach is a business decision. What matters to the customer is knowing the amount, what it covers and when it applies before anyone is booked.

When should a customer hear about the callout fee?

The customer should hear it before the booking is confirmed, and again in writing. Consumer Affairs Victoria tells tradespeople to tell customers whether a quote includes call-out fees and any weekend or public holiday rates, and to document quotes and conversations about the cost of work. The business.gov.au guide on displaying prices says it is illegal to make false or misleading statements about the price of products or services, including when you talk to customers. A fee mentioned only after arrival leaves you in a weak position if the customer disputes it, while a written confirmation sent at booking gives both sides the same record.

What should the phone script say?

Give whoever answers, whether a person or an AI, approved wording and a rule for when to say it: before the booking is confirmed, and any time the caller asks. The script should state the amount including GST, what it covers, what happens after the included time, and when after-hours rates apply. Keep the figures in one place, such as the answering instructions, so a price change is made once and reaches every call.

Hypothetical example: 'Our callout fee is $[amount] including GST. That covers travel and the first [30] minutes on site. After that, labour is $[rate] per [15] minutes including GST, and parts are extra. Calls after [5 pm] on weekdays and on weekends have a higher callout fee of $[amount]. Would you like to go ahead with the booking?'

How should the fee appear on your website and quotes?

If you display prices, show the total. The business.gov.au guide says the total price must include all charges, taxes, duties, levies or fees, such as GST, and that if you advertise a price that is only part of the total, the total price as a single figure must be as noticeable as the part price. Consumer Affairs Victoria adds that a business is generally not obliged to display its prices, but any price it does display must be genuine and not misleading. On a quote, Business Queensland suggests a line-item breakdown with the total and the GST component, which is where the callout fee belongs.

How do after-hours and weekend rates fit in?

Define the hours first, in plain terms, for example weekdays before 7 am or after 5 pm, weekends and public holidays. Then state the after-hours callout fee and labour rate separately from your standard rates, since Consumer Affairs Victoria tells tradespeople to say whether weekend or public holiday rates apply. For emergency calls, give the after-hours fee before dispatching anyone, even when the caller is stressed. A short statement of the fee followed by a question, 'Would you like us to come out at that rate?', gives the customer a clear choice and gives you a record of their answer.

What should an AI or answering service say about fees?

It should say only what you have approved. Give the answering service or AI the current fee, what it covers, the after-hours rule and the exact wording, and tell it never to offer a discount or waive the fee. It should state the fee before confirming any booking, answer fee questions directly when asked, and note in the job record that the fee was stated and accepted. That note is the kind of documentation Consumer Affairs Victoria recommends, and it gives the tech the same information the customer has. Review a sample of calls each week at first to check the fee is stated as written.

Ways to structure a callout fee

StructureWhat the customer pays forEasy to explain?Watch for
Flat fee including a first period on siteTravel plus a set time on siteYes, one figureState what is charged after that period
Travel fee plus hourly labourGetting to the job, then time on siteModerateThe customer may not know the likely total
Fee credited if the quote is acceptedAssessment, credited against the jobYes, if the conditions are statedPut the conditions in writing
Diagnostic or inspection feeFinding the faultModerateSay it applies even if no repair follows
After-hours or weekend calloutAttendance outside set hoursYes, if the hours are definedDefine the hours in the script

Practical checklist

  • Write down the callout fee, what it covers and whether the figure includes GST.
  • Define the hours that count as after-hours, weekends and public holidays.
  • Give the phone answerer approved wording and the rule to state the fee before confirming.
  • Include the fee in the booking confirmation text or email.
  • Show the total price wherever your website shows a part price.
  • Record in the job notes that the fee was stated and accepted.
  • Update the wording everywhere on the day your rates change.

Common questions

Should I charge a callout fee at all?

That is a business decision. A callout fee recovers travel time and the cost of visits that do not lead to paid work, while some businesses build those costs into their hourly rate instead. If you are setting or reviewing the figure, the emergency callout fee calculator and the hourly rate calculator on this site let you work from your own costs.

Can I waive the callout fee if the customer goes ahead with the job?

Yes, you can credit the fee against the job, and it can make the fee easier for customers to accept. Write the conditions down: which jobs qualify, how long the quote stays valid for the credit to apply, and whether after-hours fees are included. Put the same wording in the phone script, the booking confirmation and the quote.

What if a customer refuses to pay because nobody told them about the fee?

Check the record first: the call notes, the booking confirmation and the quote. If the fee was stated and recorded, show the customer. If it was not, weigh whether insisting on it is worth the dispute, and fix the step that was missed. For disputes that do not settle, the consumer affairs or fair trading agency in your state can explain the process. This page is administrative guidance only.

Do I have to show my callout fee on my website?

Consumer Affairs Victoria says a business is generally not obliged to list or display its prices, but any price it does display must be genuine and not misleading. If you advertise a price that the callout fee is added to, such as a fixed-price service, business.gov.au says the total price, as a single figure, must be as noticeable as the part price.

Should my AI phone answerer tell callers the fee?

If you want the fee stated on every booking, yes, and you can give an AI that as a written rule. Give it the exact wording, the after-hours rule and the instruction to state the fee before confirming. Check a sample of call summaries to confirm it is being said, and update the wording on the same day your rates change.

Sources and further reading

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