$1 per minute????

Discussion in 'Bidding, Estimating and Pricing' started by Bo Bob, Sep 25, 2018.

  1. Smithlawns86

    Smithlawns86 LawnSite Member
    Messages: 6

    on certain types of work yes. There is a lot of competition in my neck of the woods. Very few people make 60.00 per man hour around here. A lot of illegals and even one large company over here charges 30.00 per man hour and holds a lot of hospital and mall contracts. Of course cost of living is relatively low but steadily rising. Almost every cleaning lady here has a husband or son willing to do household chores for 20.00 an hour because they don’t pay taxes. To be clear I’m not a Racist and I have good friends of many cultures but it drives down the prices where I live. There are also several good size companies that have been in business for 30 years and just don’t raise their rates. So change is slow. You have to be highly efficient in order to make money around here and that’s why I like bid work over hourly jobs.
     
  2. Smithlawns86

    Smithlawns86 LawnSite Member
    Messages: 6

    Even though that’s my base hourly rate and what I need to make budget I usually make between 55-70 per man hour on my maintenance contracts.
     
  3. TPendagast

    TPendagast LawnSite Fanatic
    Male
    Messages: 15,215

    He think he goofed abs did one man

    I think he meant $560
     
    Mow-Daddy.com likes this.
  4. hal

    hal LawnSite Senior Member
    from Georgia
    Messages: 961

    I was trying to figure the math also...Huh?
     
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  5. 4 seasons lawn&land

    4 seasons lawn&land LawnSite Gold Member
    from NY
    Messages: 3,688

    My expenses are just over $1 minute including payroll, for 1 guy mowing alone
     
  6. Mow-Daddy.com

    Mow-Daddy.com LawnSite Fanatic
    Messages: 5,354

    How can mowing expense for 1 person mowing be over $60 per hr ?
    My highest paid mower guy cost me $24.30 per hr with work comp, and all payroll. Plus $4 per hr for mower itself,
    $3.50 fuel, and $1.50 insurance. $1.00
    Maintenance per hr. $4.00 per hr truck.
     
    Mark Oomkes likes this.
  7. Mitty87

    Mitty87 LawnSite Silver Member
    Messages: 2,346

    Maybe this guy is going way too slow because that's the highest I've ever heard for just one employee. Did you set him up with a brand new truck and trailer/mower or something that you are only depreciating over 1-2 years? (If you are allowed to do that down there)
     
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  8. 4 seasons lawn&land

    4 seasons lawn&land LawnSite Gold Member
    from NY
    Messages: 3,688

    That’s almost $40 per hour. So we are only 33% apart. The difference is 2 things. Ny Employer taxes and w/c. My $20 per hour is $28 per hour. And the other thing is, I’m taking my 8 hour expenses and dividing it by 6.5 hours for the 1.5 of “non billable” hours of driving between lawns and misc. I think that’s the main difference here. That would put us 13% apart.
     
  9. Mow-Daddy.com

    Mow-Daddy.com LawnSite Fanatic
    Messages: 5,354

    33% is all the profit and then some.
    What do you bill hrs at ?
     
  10. 4 seasons lawn&land

    4 seasons lawn&land LawnSite Gold Member
    from NY
    Messages: 3,688

    It’s 13 percent unless you are also dividing 8 hours by 6.5, read whole post. but to answer your question, not enough to bother having employees anymore.
     
    Last edited: Dec 9, 2018

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