Mr. Price Book | Customized Plumbing Price and Estimate Guide | Give Accurate Estimates | Save Money and Increase Productivity

How much should I be charging for labor?

There are many factors to consider when formulating the accurate rate to bill for technician labor.

Successsful business owners understand that wages, commision and insurance are not the only factors in determining actual labor costs.

Here, we have put together a simple form for you to compare your existing labor rate to a labor rate complete with your known costs in additional costs, which are commonly overlooked.

Click here to get started!


Your Current Hourly Labor Rate:
Variable Costs per Service Call Hour:
* Technician Pay Rate:

* Technician Commision %

* Owner Salary

* Profit Margin/Markup %
Hint: The average service company in the U.S. will meet a profit margin of 10%. You should always aim 5% above your targeted rate to meet you percentage goal.

Fixed Cost Avgerages per Service Call Hour:
Fuel

Vehicle Maintenance

Vehicle Lease/Purchase/Depreciation
Hint: Even if you vehicle is paid for, you must consider depreciation on the current vehicle, and replacement value for a future vehicle. Let your customers pay for your vehicles!

Liability and Vehicle Insurance

State License and Vehicle Registration

Technician Dispatch

Accounting

Miscellaneous costs: latex gloves, solder, invoices, glues/primers, etc.

Shop utilities, internet, land line, cell phone, fax line, etc.
Hint: If you office from your home you will still charge for these items, as they are real costs to run your business.

Shop/Office Space
Hint: Avg. $1500 per month mortgage or lease.

Cost for the 20% of customers that will not pay for service
Hint: The average service company will spend $13,620.00 per year on free estimates.

Marketing/Advertising
Hint: Based upon $1,500 monthly.



The amount here is either: over pricing, or if negative the under pricing:

Surpised? Many business owners are discovering with Mr. Price Book that are not charging enough for their services! Order Mr. Price Book today and start increasing your profits immediately!

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Tel: 602-799-7669
Email:mark.carrasco@mrpricebook.com