I would like to show you in 5 steps how to determine your billing rate. The key to profit is the following, Know your costs Control your costs Know your production Control your production Find the clients that fit your pricing structure. Step 1 in determining your rate. One of the largest costs of running your business is insurance. Workers comp, Liability, State disability, State Unemployment. Are you sure you are recovering all of these. Here is a shot of info you will need from your workers comp. declaration page. MODIFIED PREMIUM or EXPERIENCE MODIFICATION FACTOR This is basically your safety record. The average for the industry is 1. The safer or less claims lowers that number. The more claims the higher the number. So what does that mean in dollars and cents. The screen shows a "Mod. Premium" of 1. If you had an accident and your mod. number went to 1.25, a company with 2 employees and a working boss would spend an additional $ 3,101.04 per year. So step 1. gather your workers comp and liability declaration pages. I will show you what to do with this info later. Feel free to ask any questions.