View Full Version : $ per hour on machine
01-19-2004, 02:42 PM
How much do you try to make per hour that you put on your machine? Lets say your machine cost around $8000 - $10000. Does anyone have a certain amount they go by? Say, you must get at least $50 if you are going to use your machine for one hour on a lawn. What rate does everyone use?
$10.00 per hour surcharge over your normal manhour rate...
01-19-2004, 04:12 PM
no set per machine. $70/ hr residential. $90/ hr commercial for everything!
01-19-2004, 04:13 PM
If you take the machine cost divided by the average hours life span this should give you an idea of your cost. Obviously you still need to figure cost of gas, oil, blades, belts, etc.
$8000 mower divided by 1500 hours engine life = $5.33 per hour just to pay for the mower. Dont forget to include finance charges if you made payments on the mower.
I would work in this direction in order to come up with your figure. You can add this to your normal rate if you like.
PS. Just like TLC9 I have standard rates that I use. I dont think about the figures I listed above thats just how I determine my operational costs.
01-19-2004, 04:21 PM
This is not an accurate figure but on average Ī $60 per hour in my situation.
I do have a minimum fee of $25 dollars to drop my gate irrespective of how small that lawn is.
Like I said this is not accurate figuring - everybody' situation is different.
01-19-2004, 07:16 PM
Well hopefully that is a bit low jimbo I am gona try to get 2000 hours out of each of my mowers before they go on to betters lives. At that rate thatís 4 dollars per hour cost. I found I will make 250-300 k per lazer over the course of their life expectancy. So I guess they arenít that bad a deal when you look at them that way.
01-20-2004, 03:24 PM
Kellys Landscaping- Your Right! I always figure my numbers on the low side. Anything over 1500hrs is money in my pocket.
01-20-2004, 03:45 PM
OK 12,000 for an efi with a vac. That's $6/hr at 2000 hrs, or $8 at 1500.
What about Maintenance? How many blades, filters, and belts will you go through in 1500-2000 hrs?
01-21-2004, 12:58 PM
Theres no way you could ever give someone a figure that fits all...too many variables. You could figure it out for your own operation but those numbers would mean nothing to the next guy.
Total up the cost of each item you bought last year (Fuel, blades, filters, belts, etc). Now take that total cost and divide it by the hours you mow per year. This will give you a per hour figure. Total this with the figure for mower per hour and it gives you an idea of operation cost per hour for the mower. Do this with every bill you pay and you should have a true hourly cost of your operation.
Believe me the figure gets really high when you start adding insurance, truck, trailer etc.
01-21-2004, 04:22 PM
The dollar per hr depends upon two things
1. are you going to trade every year or two to keep warranty.
2. are you going to run the machine until it wears out and is worth very little.
In response to #1 - It is going to cost you about .01% of the purchase price per hr on the basis of 400 hrs per yr. In other words - you buy a $10,000 machine, and run it 400 hrs, I would bet that it would cost you $4000 to trade it in for a similar machine after one year. The .01% is x $10,000 = $10 per hr to run the machine.
If you keep it two yrs. and the warranty covers that, you have started to make some money - Probably could trade with 800 hrs for $5000. Now you have saved back .01% = $10 per hr = $8000 = $3000 left over trading for the same machine, assuming the price is the same.
If you keep it 10 yrs - = 4000 hrs on the machine. This is what I do. I have a JD 332 with 5000 hrs on it - a 1988 - Paid $6100 - extremely low maintainance - burns 1/2 gallon per hr - 16 hp diesel-yanmar - still runs like a charm = about $1.25 per hr. + $.75 for fuel = $2 per hr.
You can not make a generalization as to $ per hr for a machine - you need to decide wheather you are a trade in person every year for warranty sake, or a maintainance person for the life time of the mower.
01-21-2004, 05:05 PM
Brad your right.
So far we have only discussed running a mower until the engine quits. At this point you could probably still get something for it but I like to assume I am getting nothing. Obviously if you figure in maintenance costs in your mower per hour cost, your hourly figure will increase as the mower ages.
I prefer to add any maintenance cost (Bearings, or whatever might break) into the blade, filter categories. This way the mower per hour cost stays constant. Where the blade, belt, filter, etc. category is ever changing anyaway depending on account volume etc.
Hope this makes sense.
BTW- That Diesel was a good choice. You can get a lot more hours and less fuel consumption on those diesel engines.
01-25-2004, 10:17 PM
Send me your email address. I have something that might interest you.
Equipment cost worksheet. How to get a true COST per hour for your equipment.
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