A four-hour block covers most parties, but some run long. Bill the flat base for the block and charge only the hours past it, so a party that ends on time never subsidizes one that doesn't.
A $175 base covers 4 hours; a 6-hour rental adds 2 hours at $35 for a $245 total. A 4-hour rental pays only the $175.
The example
Three rentals, each with a base price, the hours it includes, the hours actually booked, and the hourly overage rate.
| A | B | C | D | E | F | |
|---|---|---|---|---|---|---|
| 1 | Rental | Base | Incl hrs | Hours | Hr $ | Total |
| 2 | Combo | 175 | 4 | 6 | 35 | 245 |
| 3 | Slide | 225 | 4 | 4 | 40 | 225 |
| 4 | Castle | 150 | 3 | 5 | 30 | 210 |
The formula
MAX keeps the overage from ever going negative when a party ends early:
How it works
The MAX is the whole trick:
D2-C2is how many hours the rental ran past the included block — which can be negative if it ended early.MAX(0,...)floors that at zero so an early finish never creates a credit.*E2multiplies the extra hours by the hourly overage rate.B2+...adds it to the flat base, so the base is always charged and only the overflow is metered.
Set the included block to match your standard party length — most rentals will land right at the base with no overage at all.
Try it: interactive demo
Enter the base, the included hours, the hours booked, and the hourly overage rate.
Variations
Cap the overage
Never charge more than a full-day rate by capping the extra hours.
Delivery fee
Add a flat delivery-and-setup charge on top.
Pitfalls & errors
Without the MAX, a rental that ends an hour early subtracts an hour of pay from the base. MAX(0,...) is what stops a short party from discounting itself.
State the included block and the hourly overage on the contract. The formula enforces it, but the customer should see the block before the party runs long.
Practice workbook
Frequently asked questions
Why floor the extra hours at zero?
Can I bill partial extra hours?
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