I billed out over &100.00 p/hr

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Scott, it's great to hear that you are busy. I've had dozens of people ask me recently "are you busy?" When I say yes, they say something like "you are lucky, you're one of the few."

I do feel fortunate. I don't think we are on the upswing yet in MA.....
 
electricmanscott said:
The trick is to bill those grainger prices but don't buy stuff there.
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yeah, i think we figured that one out:D but, i must admit that a lot of items that we use, grainger actually has the best pricing...not your everyday pipe and wire items, mind you...but some of the more obscure items...
 
j_erickson said:
Scott, it's great to hear that you are busy. I've had dozens of people ask me recently "are you busy?" When I say yes, they say something like "you are lucky, you're one of the few."

I do feel fortunate. I don't think we are on the upswing yet in MA.....
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It seems we who are busy are out numbered by those that are not. Good to be in the right group. :grin:
 
goldstar said:
We've had similar discussions here before on this subject. From what I remember it had something to do with plumbers billing out at over $100/hr. I can't seem to understand why we all keep cutting each others throat but there are contractors in my area that are still billing out at $65.00/hr. What the #@!*&^???

We should all start evaluating what it takes to run our businesses and charge accordingly. One of the benefits of being involved with a contractors' association is that you can share ideas and typical billing practices with each other to maximize your income. This is not a cartel type operation or a restraint of trade but merely a method of getting what the market will bear.

Just my 2 cents worth.
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Yeah Ive heard the samething I just started my bussiness in the last year and one old timmer I know goes "I always charged $65/hr Two Man I said did you charge travel time he said no. Ive had a couple of his customers call me and I tell them $90 an hour (low I think) they gasp. How the hell did he make anything.Oh BTW Im in North Jersey
 
Well the amount you charge is determined by the area you live in. New York, LA, Chicago, all expect to pay over $100 a hour, But in my area in ohio the unemployment rate is so high no one will pay those amounts, Plumbers are getting $50 a hour here and my competers are charging $50 a hour for electrical per man, there are dozens of handy man ads in the news paper and they will change a bad switch or outlet for $25 dollars. the IBEW has 80% of there people layed off The unemployemnt is so bad that the copper ground wire on your service is being stolen off your home while you sleep. But I have been lucky been busy all winter and have work scheduled for the next month, The phone just keep ringing and that is a good thing.
 
I think you will find that there is no magic formula to figure out what your rate is going to be.

It is almost always determined mostly by what the market will bear. Fortunately, there are many market segments that you can focus on and some are more lucrative than others.

The new home construction seems like it is in a tailspin right now, so those contractors who focus on that area are going to be in a world of hurt. Other market segments are not doing all that poorly.

I am not in a position to discuss exact numbers but the business I work for has a fair number of electrical wirers who are paid about 75% of what an IBEW electrician is paid, with comparable benefits. We are not billing out at anywhere near 75% of the rates you guys are talking about. Now granted, the overhead is a little less - no trucks would be the big thing, but not by a whole lot.
 
petersonra said:
I think you will find that there is no magic formula to figure out what your rate is going to be.
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there is a magic formula...

determine all your costs and figure out what your break even point is to afford everything you want...

if you charge below that number you are an inept businessman...if you can't charge that rate or above, go do something else...

my experience is that very few people who run a true, intellectually honest, breakeven calc will determine that they are charging too much...majority of the time, they get about 1/2 through the calc, stop and cry because they haven't even added it all up and the number is already higher than they are currently charging...
 
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