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Discussion Starter #1
I am in NJ. What is the going rate for certain jobs and do most people quote by the job or by the hour or how? Ido not want to be too high but also do not want to be too low.
 

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You are asking alot. What I mean is what are you pricing?!

For maintenance related issues I usually try to go for a time & material (T&M) contract but those are damned hard to sell in residential situations. When it's a commercial property or for a property manager it's not so hard to sell.

Most of my work is big jobs so I give a fixed cost. A good rule of thumb for determining a fixed cost is to first determine what the materials will cost you. Second determine how long it will take you and a helper(s) to do the job. Third determine what you and your helper(s) are worth (how much to charge per hour). Now add in your labor burdens and add in your overhead. Add all this up and add 10% for error. At this point you now know what it will take for you to do the job and BREAK EVEN. Add a little bit more for profit. We all want a profit. If you are working for an hourly wage you might as well be an employee.
 

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Discussion Starter #3
what do you gauge as your worth or the labor, is it a hourly rate times 8 hours a day or are you figuring it diferent when you add it to your matterials costs. Also how much do you tack on for oyur profit aboe this in %
 

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KPS-

The first thing you have to do is forget what "everyone else" is charging- that's irrelevant to your operation. What matters is YOUR cost of doing business, and how that translates into your rates. If you just charge what seems to be "the going rate", you'll soon be wearing an orange apron and saying "Liquid Nails oughtta work for that"....

If you're a one-man operation (or even a small shop), you start by determining what it costs you to operate- insurance, vehicles, advertising, office, etc. You then divide this amount by the number of billable labor hours you'll have in a year (figure around 1500-1700 per employee), and that sets your hourly rate. You add materials and subcontractor costs to that, and then mark the whole thing up for profit. If you're not adding at least a 10% profit to all of your costs, you've got a "job", not a "business".

If you need further help, feel free to email me. I'm in NJ as well, and often consult with local contractors on business matters like this.

Bob
 
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