How to use the lesson package pricing calculator
- Enter your single lesson price.
- List the packages you might offer, each with the number of lessons and a discount percent.
- Enter the number of students, the lessons per week for each, and the share of lessons you lose to no-shows.
- Compare the package price, the price per lesson and the expected monthly income of each option in the table.
Formula
Package price = lessons x single price x (1 - discount percent / 100)
Price per lesson = package price / lessons
Booked lessons per month = students x lessons per week x 52 / 12
Monthly income = booked lessons x price per lesson x (1 - no-show share)
Each row of the table assumes that every student buys that kind of package. Money is rounded to the cent, half up.
A $50 lesson with three packages
At $50 a lesson, a package of 5 lessons with 5 percent off costs $237.50, which is $47.50 a lesson. A package of 10 with 10 percent off costs $450.00, or $45.00 a lesson, and 20 lessons with 15 percent off cost $850.00, or $42.50 a lesson.
With 6 students taking 1 lesson a week, there are 26 booked lessons a month. With 5 percent lost to no-shows, 24.70 are paid, so income is $1,235.00 at the single price, $1,173.25 at the 5 lesson price, $1,111.50 at the 10 lesson price and $1,049.75 at the 20 lesson price. The discounts lower the income per lesson, so a package needs to bring something else, such as more lessons booked or fewer cancellations.
What the comparison shows
A discount cuts the price of each lesson, and it only pays off if the package raises the number of lessons that students book or lowers the number they cancel. The table makes the price cut visible, so you can decide whether the trade is worth it for your students. The no-show share is your own figure from past experience, and the page starts with 5 percent as an example.
To set the single price from your costs and goals use the freelance rate calculator. The discount calculator shows the price after a percent off, and the product bundle pricing calculator compares bundles of goods.
What is not included
Taxes, payment fees, refund terms and the timing of money are not part of the figures. A package paid in advance brings the cash in sooner, but it also creates a promise of future lessons. Use the table to compare prices and read your own policies and local rules for the rest.
Assumptions and limits
- A month is 52 / 12 weeks, so there are about 4.33 weeks in a month.
- Every student in a row buys the package shown in that row.
- No-shows are lessons that are not paid or not held, as a share of booked lessons.
- Package prices are rounded to the cent. Monthly income uses the exact price per lesson and is rounded at the end.
Frequently asked questions
How do I price a lesson package?
Multiply the number of lessons by the single price and take off the discount. Ten lessons at $50 with 10 percent off is $450.00, or $45.00 a lesson.
How much should I discount a package?
That is your decision. The table shows the price per lesson and the monthly income at each discount so you can compare them.
How is monthly income calculated?
Booked lessons per month are students x lessons per week x 52 / 12. Multiply by the price per lesson and by one minus the no-show share.
Can I compare more than three packages?
Yes, you can list up to eight packages and compare them in the same table.