Labor rates

[JESolutions]

Curious as to how everyone figures in their labor rates (electrician, foreman, apprentice,). For the past few years on my own I’ve always just plugged everything in on the computer but recently have had companies ask T&M rates. Haven’t really locked down T&M rates just been going off of what I’ve known over the years, how long and about what it’ll cost. Thanks

 

[bkludecke]

We have always built our T&M labor rate by adding up the journeyman pay rate + cost of all benefits (health ins, pto, holiday pay, retirement contribution, vacation pay.....) + labor burden (worker comp, taxes.....) + non-productive time (minimum 2 hours/day) + O/H & profit. It has always come in around 2.5 - 3 times the base journeyman labor rate. So if the jman rate is $35/hr then the hourly rate would be $87.50 - $105 minimum plus over time charges as necessary.

 

[2Broke2Sleep]

Rate is the same every van. Determined by annual billable hours against the overhead.