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Labor rate

Steve_35
Steve_35 Member Posts: 546
in THE MAIN WALL
If you're charging a labor rate that covers all of your expenses and results in a net profit and you're billing service at T&M, then you could use the same rate for both.

If you're billing FR for service, then you may well be using different hourly rates because labor efficiency comes into play. You will likely have fewer billable hours with FR service than you will with installs.

We use significantly different labor rates for service vs installs.

Comments

  • Mike Dunn
    Mike Dunn Member Posts: 189
    Labor rate

    When you are creating a proposal for a new radiant system and you determine that it will take x hours to complete, is the labor rate you multiply by said hours the same rate you'd charge for a service call? Just wondering if most use different labor rates.
  • [Deleted User]
    [Deleted User] Posts: 0
    different

    We hava a truck charge for the first hour rate with a minimum hour charge. When i a bidding a radiant job i figure an hourly rate per man based on the size of the job. I am sure many guys here have a formula for this.
  • heatboy_2
    heatboy_2 Member Posts: 48
    Varying rates for install/service.

    For installs the rate is different since you can bill more hours per week than you can service. Install also have two differing rates depending on the project scope and urgency.

    Service, on the other hand, has minimum service visits for different travel "zones" for urgent stuff and then a planned service rate for other things.

    All of it comes down to billable hours. How many and what type.
  • Al Letellier_9
    Al Letellier_9 Member Posts: 929
    labor rate

    My experience level, licensing level,abilities or operating costs dont' change whether I'm doing service work or installation. The rate is the same. I DO charge more when doing consulting work, but to answer your question, same me/same rate.

    To Learn More About This Professional, Click Here to Visit Their Ad in "Find A Professional"
  • Al Letellier_9
    Al Letellier_9 Member Posts: 929
    labor rate

    My experience level, licensing level,abilities or operating costs dont' change whether I'm doing service work or installation. The rate is the same. I DO charge more when doing consulting work, but to answer your question, same me/same rate.

    To Learn More About This Professional, Click Here to Visit Their Ad in "Find A Professional"
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