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| View Poll Results: Guys with hired staff, what percentage of your gross is paid out to them as wages? | |||
| Less than 10% |
   
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0 | 0% |
| 10% >> 20% |
  
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0 | 0% |
| 20% >> 30% |
  
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1 | 33.33% |
| 30% >> 40% |
  
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2 | 66.67% |
| 40% and greater |
  
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0 | 0% |
| Voters: 3. You may not vote on this poll | |||
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#1
05-18-2010, 06:43 PM
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Percent of gross paid out as wages?
For the guys that have hired staff, what percent of your gross income is paid to your staff as wages?
I would like to get a quick picture of where the cost of wages come into this line of business. Last edited by Yard-Dawg; 05-18-2010 at 06:51 PM. 
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#2
06-01-2011, 11:34 AM
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I'm a new business and I pay about 25% to my employee. This makes sure that the expenses are covered and the business and I both make money. When I first started I was actually paying to work. I was paying about 45% to him. What I did is took the cost of all my equipment and divided it over 150 jobs per year. and said I wanted everything to be paid for in 2 years. So the business has to make atleast X dollar amount (adding that cost plus gas, vehicle maintenance, etc.) per job to reach that goal. Plus I want to make a profit as well. And as the owner of the business I should make more.
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#3
02-20-2012, 12:34 AM
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30% is what we our guys. They make great money.
__________________
Integrity. Service. Excellence. Whole buncha crud
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#4
02-20-2012, 09:49 AM
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It is going to vary greatly from one to another. 30% is about as high as you might want to go for small maintenance. Across the board midsized guys tend to wind up in the 15-25% range. If you look at the top 100 companies many of them are operating at the 10-12% range. This is ideal. It should be that in an efficient operation a good employee grosses 100K in labor alone. Small guys struggle with inefficiency to they tend to get well under this.
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#5
02-20-2012, 07:13 PM
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Im calling bullshit on 10 to 12 percent for labor unless you are charging out the ass or labor associated with lawn care.
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#6
03-05-2012, 12:08 PM
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Quote:
Would like to see wages as a percentage of revenue minus subcontractors and COGS - seems like that would be a better benchmark by creating a level playing field for comparing a hardscapes company with a maintenance company.
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| 10% >> 20%, 20% >> 30%, 30% >> 40%, 40% or greater, less than 10% |
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