Charging for overtime.

[ptonsparky]

We almost always get in a 1-3 hrs of overtime in a week. I have worked that into my hourly rate. A new customer is taking liberties with our time. I am an early riser and was in the office @ 4:30. Found out later in the day my help had just gotten home from a 6.5 hr service call @ that time. (He still showed up at 8 for work.) They are good customer, pay within a week of billing and were responsible for about 1/4 of our income in the last year. At what point do I start hitting them a bit harder for these late calls?

 

[zog]

We almost always get in a 1-3 hrs of overtime in a week. I have worked that into my hourly rate. A new customer is taking liberties with our time. I am an early riser and was in the office @ 4:30. Found out later in the day my help had just gotten home from a 6.5 hr service call @ that time. (He still showed up at 8 for work.) They are good customer, pay within a week of billing and were responsible for about 1/4 of our income in the last year. At what point do I start hitting them a bit harder for these late calls?

Do you only have one hourly rate?!?!?

We have ST, OT, weekends, holiday, and emergency rates.

 

[ptonsparky]

Yes, one rate. Most customers for me do not require weekend or all night service and are almost apologetic at even calling in the evenings to arrange a time. I don't mind going, within reason, because it gives me an oppurtunity to play with my meters. I feel my help doesn't need the aggravation of those calls because they already put in enough hours.

If someone is calling me @ 1:30 AM on a Sunday morning does that rank as emergency, weekend and OT?

 

[jxofaltrds]

We almost always get in a 1-3 hrs of overtime in a week. I have worked that into my hourly rate. A new customer is taking liberties with our time. I am an early riser and was in the office @ 4:30. Found out later in the day my help had just gotten home from a 6.5 hr service call @ that time. (He still showed up at 8 for work.) They are good customer, pay within a week of billing and were responsible for about 1/4 of our income in the last year. At what point do I start hitting them a bit harder for these late calls?

You said that you worked OT in.

If he is that good of a customer I would not charge him more for a 'few' OT hours.

 

[iwire]

The company I work for is closer to Zogs different rates for different times, days etc. After 4 or 5 PM the rate goes up.

 

[nakulak]

I guess the answer lies in what constitutes your core business. If you provide regular 3rd shift service, then maybe its not really OT or emergency. If, like most people, you run 9-5, then this kind of work interrupts the flow of your work and should be charged accordingly. You can explain it to your customer like that, too, and maybe work in a certain number of hours at a given rate with a certain time frame for lead time, and otherwise a higher rate. they should not have a problem with that, unless they feel this is service you should be providing as an accoutrement to the work they already provide you ?

 

[roger]

The company I work for is closer to Zogs different rates for different times, days etc. After 4 or 5 PM the rate goes up.

We are pretty much the same too and if I we are forced into a large OT situation that is the fault of others or is simply for accelerating a schedule I go after the the half time reimbursement with labor burden and mark-up.

Roger

 

[hardworkingstiff]

We almost always get in a 1-3 hrs of overtime in a week. I have worked that into my hourly rate. A new customer is taking liberties with our time. I am an early riser and was in the office @ 4:30. Found out later in the day my help had just gotten home from a 6.5 hr service call @ that time. (He still showed up at 8 for work.) They are good customer, pay within a week of billing and were responsible for about 1/4 of our income in the last year. At what point do I start hitting them a bit harder for these late calls?

I guess when you run over the 1-3 hours of overtime.

That's the short answer, but in reality, if you are well compensated, in this work environment you need to be careful (probably why you posted the question). The new customer can(should) be trained from the beginning that OT cost more. The customer that provided 25% of your revenue takes a little more care.