I go with 22 working days. I don't include personal items like mortgage etc. I make a required min payroll which is 80K and pay myself bi weekly. So my requirement is overhead plus payroll and I shoot for a 30 percent profit margin from that point. As for the costing. Another way that pros use add times you cost by 2.7 % and you will find standard profit margin over 50%
Interesting way of thinking about it. I just estimate time plus buffer and multiply by a number based on the client. That number factors in location and PITA factors. Then add my cost for materials. Homewyse is a good check on some things. That said I'll have to try running the numbers this direction a couple times and see how they compare
Charge charge charge! SO much more goes into EVERY job than most customers realize. The heat building damn fences makes the work worth double in the summer... People are cheap and spoiled by cheap workers though. Building trust with clients is our biggest asset. Once they trust you, you charge what you believe you are worth, and they will understand. Random customers can hire me or jump in a creek, no budging on my prices.
How strict are you with your estimating system? Based on your system you explained, the current job I am working on I am losing $3,200 in profit. That sucks. Once you started implementing this, did you notice getting less jobs?
No. I am book out until February 2020. I will say that some customers dont approve my estimates for the smaller jobs but that is completely fine by me. I used to charge $175 to install a Chandelier...now its $350+ just for example.
SearchingforSignalLLC Thank you. I have an incredible overhead every day, and I just crunched the numbers again and realized I’m booking myself just to break even. I thought it was enough to be comfortable, but boy was I wrong. I like seeing your updates since I’m just outside Milwaukee, so I’m not too far from a similar market from you.
That $100 dog poop fee I'm adding that into my next estimate LOL
I go with 22 working days. I don't include personal items like mortgage etc. I make a required min payroll which is 80K and pay myself bi weekly. So my requirement is overhead plus payroll and I shoot for a 30 percent profit margin from that point.
As for the costing. Another way that pros use add times you cost by 2.7 % and you will find standard profit margin over 50%
I’ve always looked at my net profit. Everyone does it differently though and I understand where you’re coming from.... good video for the newbies.
Interesting way of thinking about it. I just estimate time plus buffer and multiply by a number based on the client. That number factors in location and PITA factors. Then add my cost for materials. Homewyse is a good check on some things. That said I'll have to try running the numbers this direction a couple times and see how they compare
Charge charge charge! SO much more goes into EVERY job than most customers realize. The heat building damn fences makes the work worth double in the summer... People are cheap and spoiled by cheap workers though. Building trust with clients is our biggest asset. Once they trust you, you charge what you believe you are worth, and they will understand. Random customers can hire me or jump in a creek, no budging on my prices.
You sound just like me when thinking through all the pricing😂
How strict are you with your estimating system? Based on your system you explained, the current job I am working on I am losing $3,200 in profit. That sucks. Once you started implementing this, did you notice getting less jobs?
No. I am book out until February 2020. I will say that some customers dont approve my estimates for the smaller jobs but that is completely fine by me. I used to charge $175 to install a Chandelier...now its $350+ just for example.
SearchingforSignalLLC
Thank you. I have an incredible overhead every day, and I just crunched the numbers again and realized I’m booking myself just to break even. I thought it was enough to be comfortable, but boy was I wrong. I like seeing your updates since I’m just outside Milwaukee, so I’m not too far from a similar market from you.