Even though it seems expensive some hourly rates, or should I say "Technician Fee" and a $$$ beside that with no actuall hours spent on the car.Consider what a Doctor charges, Lets say $45 a visit. And if your like me it takes about 5 mins tops so if there clever and get 12 people with 5 min visits thats$540 an hour. AndDentists, well we won't go there. Mine was $160 for 20mins in the chair just to yank a tooth. But even so if someones charging $80 an hour I dam well want value for money and not some "techician" standing around Repco talking about is adventures in the weekend to the girl behind the counter. And I hate paying for all the guess work mechanicing that seems to go on these days. Oh an we charge $50 an hour for panel and paint.
kazbanz,
Mar 1, 8:18pm
You read my post out of context with only YOUR car in mind. Using the builder senario you are comfortable with. I'd get in a General builder (mechanic) to build a deck (service a jap car). But I'd get a gib stopper to replaster a ceiling. I'd get a retaining wall specialist to build a retaining wall. Id call a roofing company to put a new roof on the house. My reasoning being that a productspecialist will have intimate knowledge of HIS speciality within the trade. More importantly to me is that it is almost without exception a LOT cheaper to use a specialist in that particular job. By Cheaper I do mean ULTIMATELY -say over a 3 year period not right here right now.
pnh4,
Mar 1, 8:28pm
A "Small Engine Mechanic" Great to shed light on you're profile jimma, cheers
trader_84,
Mar 1, 9:10pm
Builders have different charge out rates for a few different things. A lot of them don't like placing concrete but will do small stuff if required. They will charge you though. If its dirty or hard on their bodies or gear - you'll pay. One of my boys is one and i know he charges more for simple but hard graft stuff.
jmma,
Mar 1, 9:33pm
No, Mechanic that ended up working on small engines(o: Not sure what it has to do with my profile, but meh (o:
alan1111,
Mar 2, 4:09am
I only charge $45.00 per hour including gst. Probably a little low but i have no overheads to pay. I live in a low socio economic area and thats about all they can afford. The workshop up the road about 7ks away charges $70.00 per hour and wonders why he got no work and i always busy.
snoopy221,
Mar 2, 4:16am
The REAL thing missing HERE is Given a SPECIFIC job with a KNOWN flat rate charge out TIME(Hours) What hours are on the invoice- I.E. how GOOD is your mechanic!
escapelife,
Mar 2, 1:21pm
are you paying tax paye acc holiday pay sick days etc etc etc
rpvr,
Mar 2, 1:30pm
Exactly. Are you being charged for the hours spent doing the work, or work + time on phone ordering parts for other jobs + going to the bakery for morning tea etc.
a.woodrow,
Mar 2, 1:55pm
Brings around another question. Say you have a typical flat rate time for a cambelt job at 4 hours labour. 3 of your workshop techs can bang it out in 4, 2 are a bit slower and less experienced and can bang it out in 5 hours. One is a clever bugger and can knock them out in 2.5 hours flat.
1. What are you going to charge you customer!
2. if the 2.5 hour guy does it are you going to let it out the door for only 2.5 hours!
3. If so, if one of your 5 hour guys do it, are you going to penalise the customer because you didn't put your 2.5 hour guy on that vehicle!
There's lots of gray areas when it comes to charge out rates.
alan1111,
Mar 2, 3:23pm
yup sure am only a 1 man garage i aint greedy
bjmh,
Mar 2, 7:19pm
so $39.14 plus gst .no overheads ! what have you got a fairy godmother,power at least, A grade meat workers at our local works on $60 per hr.i'm not surprised you're busy,your customers must love you.
yogibearz,
Mar 3, 12:59pm
. Exactly. go to any large city dealership and listen for a while. The question people ask is how much will it cost ! total all up finished price, Not how much an hour do you charge.
kazbanz,
Mar 3, 2:27pm
Alan-Mon I'd be having a carefull look at your books. Allowing you work about a 50-60 hour week you only have 40 chargable hours or $1800 a week, From which you pay GST,ACC,Tax and operating costs. Hey mon Im not saying change what you are doing but I'd have a look about this time of year.
bumfacingdown,
Mar 3, 8:27pm
Hey mon Im not saying change what you are doing but I'd have a look about this time of year.
Quote Hey mon Im not saying change what you are doing but I'd have a look about this time of year.
Quote kazbanz
And join the fella up the road doing nothing, sounds a good business plan to me kazbanz
socram,
Mar 3, 10:24pm
At last. Someone mentions the key point - or one of them.
Having taught costing for many years (and also qualifying in Work Measurement 35 years ago), it never fails to surprise me how little most people understand about labour rates and costing, not to mention efficiency and productivity.Sadly, that also applies to most accountants (who also charge like wounded bulls).
If you are self employed, the first question is "do you actually understand what your overheads are!" and secondly, "do you actually know how many hours a year you think you are going to actually have to work or be able to work!"Thirdly, how much money do you want to earn.
Totally agree with #33, a charge out rate of $45 isn't really enough for most, but if you are happy and get plenty of work, pay your ACC, rego your vehicle, replace your tools, do your accounts or get someone to do them for you, have at least four weeks off a year, are never sick, save for your old age, and prefer to work long hours, who are we to argue!
First bit of advice I had was "never charge out less than what you are worth".
kazbanz,
Mar 4, 1:21pm
-Where do you see me advocating that! Im saying to ensure that the buisiness model does actually work. End of financial year is a great time for a "reality check" .
joe_60,
Mar 4, 3:08pm
I dont know how much tax etc. you have paid as you have only been in business for 2 weeks and you are a back yarder. My advise is see an accountant before you set your rate.
socram,
Mar 4, 3:16pm
Just filled in my annual company return on line.It now costs $45 for something that was free up until August last year.Maybe not a lot, but another $1 a week on your overheads.If like me you just happen to have more than one company, then it is $45 per company return.
Anyone who is self employed, runs a vehicle they use for business and is charging less than $50 or $60 an hour, is probably kidding themselves that they are making money - unless it is under the counter of course.
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