Register free!

The Green Industry's Resource Center



Reply
 
Thread Tools   Display Modes
  #1  
Old 12-12-2001, 09:17 PM
Matt .B Matt .B is offline
LawnSite Member
 
Join Date: Dec 2001
Location: Wisconsin
Posts: 7
How Do You Pay For Employee's?

I have a landscape business right now with 6 employee's... I have been paying by the job. So the faster they work the more money they make. It usually averages out to be around 12.50$ an hour for lawn mowing. And if i get a complaint from a customer they are sent back out to the account on there own time.(or atleast not getting paid for the trip) I was wondering is this a decent way to pay the employee's??? OR what works???
Thanks
Reply With Quote
  #2  
Old 12-12-2001, 09:48 PM
LAWNGODFATHER LAWNGODFATHER is offline
LawnSite Fanatic
 
Join Date: May 2001
Location: St. Louis, Missouri Gateway to the west
Posts: 6,750
How much do you have to send them back to correct jobs?

How much are they generating a day?

How is your customer retension?

How much is your employee retension?

Do they beat up the equipment going to fast?

ETC....

It can be a good way to pay but those factors mensioned are the biggest part of the equasion.
Reply With Quote
  #3  
Old 12-12-2001, 10:11 PM
smburgess's Avatar
smburgess smburgess is offline
LawnSite Senior Member
 
Join Date: Dec 1999
Location: Richmond, Virginia
Posts: 469
A better way would be legally, either hourly or salaried.

They could not in any way be classified as sub-contractors, since they're using your equipment and you're setting the price they're being paid, among other things.

I'm not trying slap anyone around, an opinion was asked for, and I'm giving mine.
__________________
Steve
Richmond, Virginia
Reply With Quote
  #4  
Old 12-12-2001, 10:36 PM
plymouthvaliant73 plymouthvaliant73 is offline
LawnSite Member
 
Join Date: Jan 2000
Location: North of Boston, Massachusetts
Posts: 167
That's right, this has huge potential to be a financial disaster for you.

The revenooers can come after you for all the taxes; fica, medicaid, income taxes, everything. Federal, state, local.

Plus interest and penalties.

Plus back wages and triple damages for the wages you didn't pay when you sent them back on their own time.

This is not professional.

edited to add:

Oh, yeah, and then there are the unemployment taxes and workmens comp premiums.

and how about liability insurance? will your carrier deny payment because you're not running legal?

Sorry, it's a downer but true.
Reply With Quote
  #5  
Old 12-13-2001, 12:23 AM
wolfpacklawn wolfpacklawn is offline
LawnSite Member
 
Join Date: Nov 2001
Location: Reno, Nevada
Posts: 120
smburgess and plymouthvalient73

Where did Matt B. say that he was not taking out taxes, social security and medi etc.?

Is it illegal to pay by % for a job? It sound like that is how he is doing it. He never said that he was 1099ing them.
Reply With Quote
  #6  
Old 12-13-2001, 03:46 AM
2 man crew 2 man crew is offline
LawnSite Senior Member
 
Join Date: Jun 2001
Location: Minnesota
Posts: 403
An employer can pay what ever he or she wants as long as its meets the states min wage. At least that is in Minnesota. If the total pay for each week meets the states min wage its legal.
Reply With Quote
  #7  
Old 12-13-2001, 06:37 AM
LAWNGODFATHER LAWNGODFATHER is offline
LawnSite Fanatic
 
Join Date: May 2001
Location: St. Louis, Missouri Gateway to the west
Posts: 6,750
Quote:
Originally posted by wolfpacklawn


Is it illegal to pay by % for a job?
No it is not. Best thing to do is check you labor laws.

Quote:
An employer can pay what ever he or she wants as long as its meets the states min wage. At least that is in Minnesota. If the total pay for each week meets the states min wage its legal.
Same in Missouri.

Also there is another thread going on the same subject.
http://lawnsite.vbulletinhosting.com...threadid=22802

Last edited by LAWNGODFATHER; 12-13-2001 at 06:43 AM.
Reply With Quote
  #8  
Old 12-13-2001, 11:04 AM
HBFOXJr HBFOXJr is offline
LawnSite Bronze Member
 
Join Date: Jul 2001
Location: Southern New Jersey
Posts: 1,700
Matt B

Everybody is being athletic here jumping to conclusions and flying off the handle.

No, you are not illegal and I don't see a problem with %. But there are questions you haven't answered that are needed for others to pass opinions or help.

Read the state and federal labor laws, but I think??? that if they work more than 40 hours you have to have someway of calulating wages backwards to make sure they are getting time & a half for the OT.

Meaning this, if you said their wage was $8/hr, $12 for OT and they averaged $12.50 in earnings all the time, you'd be clear and nobody could hassle you.

If the wage was $10/hr plus OT, a 50 hr week makes the average wage about $11/hr for all 50 hrs and your still ok.
__________________
Harold
Reply With Quote
Reply

Thread Tools
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off

Forum Jump





Powered by vBulletin® Version 3.8.6
Copyright ©2000 - 2014, Jelsoft Enterprises Ltd.
Copyright ©1998 - 2012, LawnSite.comô - Moose River Media
All times are GMT -4. The time now is 04:54 PM.

Page generated in 0.09284 seconds with 9 queries