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Easiest way to raise rates


LawnSite Platinum Member
The easiest way to raise rates with out much if any backlash from your customers is to raise them the same as the governments cola raise for SS benefits. Do it around the 1st of the yr and just tie the price increase in with the cola raise the government figures. And send the letter with that reason and maybe a small article about how much it will be. I think its around 2.9 % this yr. Most people won't argue with the logic as they know that cost have gone up. And seniors would have just received there raise at that time so in essence your price would stay the same. But at least your not losing more money by not raising prices.

Richard Martin

LawnSite Fanatic
Greenville, NC
That's a fine idea except for the fact that the CPI-W (SS bennies are based on this) doesn't rise as fast as the Rate Of Inflation. Also the CPI-W and the ROI are based on national averages and are not indicative of local forces such as sky rocketing housing costs as reported by OFHEO.

For example if you compare where I live (the Washington DC metro area) to Dayton OH you would see that a cutter in Dayton only needs to make $34,080 to maintain the same buying power as a cutter from my area who is making $40,000.

Using the SS COLA is fine as long as you live just below the ROI in Averagetown, USA but bear in mind that the SS COLA is not intended to keep up with the ROI, it is intended to keep beneficiaries quiet and you will loose buying power over time if you tie your increases to it.



LawnSite Fanatic
Clinton, NJ
Good points from 2 of our respected members here.

I myself also like to use the winter months to review my prices by each client individually. I have never just thrown out a X% increase across the board to everyone based on inflation, cost of living, etc. The important thing is though to review not only where your income is coming from and how much, but how much you are spending in expenses as well.

It isn't so much how much you make...but how much you get to keep IMO.


LawnSite Platinum Member
I agree completely with what your saying, but there are to many cutters worried about loosing customers if they raise there prices up. I found that this was a very simple way to raise them and if anyone ever asked I could explain it fast and simple with the explanation I gave.

Also using the SS cola or any cola does not give you a raise its only allowing you to gross the same as the previous yr.


LawnSite Bronze Member
I just sent out a note this month. Told them what the price would be and left it at that. Seems pretty easy to me.


LawnSite Silver Member
northwest ohio
you guys are something, else, i really love it.... :)