Discussion in 'Business Operations' started by ltmarkb3, Jul 15, 2009.

  1. ltmarkb3

    ltmarkb3 LawnSite Member
    Messages: 17

    What is the percentage of gross income that you plan on spending for payroll.
  2. rusty_keg_3

    rusty_keg_3 LawnSite Bronze Member
    Messages: 1,469

    Well, our payroll for two guys, just mowing is about 1/5 of what we bring in... But we only mow 1.25- 1.5 days a week.
  3. kaferhaus

    kaferhaus LawnSite Bronze Member
    Messages: 1,444

    In my operation (large) labor is right at 21% fuel is 8% Maintenance, Insurance (not WC, it's figured into payroll) depreciation and office expense is just over 10% which leaves a net of about 61%

    However, I have no debt so other than utilities, property taxes and insurance there's no office rent or mortgage and no debt service on equipment. Otherwise the "net" percentage would be much much lower.
  4. barefootlawnsandlandscape

    barefootlawnsandlandscape LawnSite Senior Member
    Messages: 296

  5. snomaha

    snomaha LawnSite Bronze Member
    from midwest
    Messages: 1,231

    37% including compensation of officers.

    33% excluding officers.

    TJLANDS LawnSite Bronze Member
    Messages: 1,668

    Industry avg with a totally legit company is probably 33-35%.

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