Different Prices For Different Skills

[srlawnservice]

I don't post a lot on here, but I do have to say that I disagree that your per/hr pricing should be the same on all jobs.

For basic mowing and cleanups, I have a set per/hr pricing. However, if the job requires tools or skills that the average happy homeowner probably doesn't have, then I charge more. Guess what I'm saying here is I try to figure how much time/effort I am saving them and charge accordingly.

I may be doing the same thing as most of you, just in a different way.

Comments/suggestions.

RL

[njnewbie]

Definitely agree. Anyone who charges the same rate for mowing and for installing a patio or laying sod (or even a labor intensive task like digging a ditch) is an idiot.

[MASTERMOWER]

So charging $25/hr for planting a B&B tree is too low?

[steve-o]

Definitely agree. Anyone who charges the same rate for mowing and for installing a patio or laying sod (or even a labor intensive task like digging a ditch) is an idiot.

what do you make per hour mowing?

steve

[njnewbie]

Depends on the day, anywhere from $50-100+. But it can be much more. Last week, I dropped my worker off to do 4 lawns, and then I went and did 4 lawns; we knocked out 8 lawns and pulled up to the ninth in under 1 hour (close to $200 net profit).

It also depends on what you mean by make "per hour". Today, I sat at home all day nursing a hangover and I made $50/hr, if you're counting the hours my workers were in the field. I had two guys each cutting solo with a 21. They did 10 lawns each in about 6 1/2 hrs and I netted an avg of $17 per lawn.

What are you getting at exactly? You can say I don't charge enough, but I won't listen until you get a route of high-priced lawns half as dense as my route.

The point: mowing is not skilled labor, hardscaping or irrigation or spraying work is skilled. You should charge more for skilled labor than unskilled, it's only logical. To get good results on a project demanding high skills, you have to pay more money for skilled workers. And if you don't charge more, either the quality of work suffers with less skilled workers or your bottom line suffers. Even if you charge $75 per man hour for mowing you should charge signficantly more for skilled work. If you want to make it really complicated you could break up the tasks by trimming/edging and mowing and then charge a lot more for trimming time because it requires much more skill.

[Scaper-S2k]

I don't bill the same for everything.


But let me add: (because this kinda of gets under my skin a bit)



You can't say you make $100/hr unless your personal profit shows $208,000 per year.


I know a guy around me that has been mowing for the same amount of time I have. He says he makes $60/hr "That's more than plumbers, etc" he has mentioned. And sometimes I wonder if he really thinks that?! But 2 years ago he slipped up and told me he made about $37,000 per year.

Now my math says he is making under $20 per hour. Nothing at all wrong with that, but he still thinks he makes $60/hr?

If he isn't profitting $60/hr EVERY HOUR of the day, every week, and ALL YEAR.....it's NOT $60/hr. You have to AVERAGE it over 2080 hours in the work year.

This is what kills many of the newer guys, or keeps them from moving up. I'm not quite sure they understand it.




Sorry for the rant.



P.S. - late this Saturday I have a weird job that will be $400 and will take about 60 minutes. But I promise you guys, my W-2 doesn't show that I profit $832,000 per year.

[MASTERMOWER]

I don't bill the same for everything.


But let me add: (because this kinda of gets under my skin a bit)



You can't say you make $100/hr unless your personal profit shows $208,000 per year.


I know a guy around me that has been mowing for the same amount of time I have. He says he makes $60/hr "That's more than plumbers, etc" he has mentioned. And sometimes I wonder if he really thinks that?! But 2 years ago he slipped up and told me he made about $37,000 per year.

Now my math says he is making under $20 per hour. Nothing at all wrong with that, but he still thinks he makes $60/hr?

If he isn't profitting $60/hr EVERY HOUR of the day, every week, and ALL YEAR.....it's NOT $60/hr. You have to AVERAGE it over 2080 hours in the work year.

This is what kills many of the newer guys, or keeps them from moving up. I'm not quite sure they understand it.




Sorry for the rant.



P.S. - late this Saturday I have a weird job that will be $400 and will take about 60 minutes. But I promise you guys, my W-2 doesn't show that I profit $832,000 per year.

Can't hold back.....

So a McDonalds employee working 30 hours a week netting $6/hr really isn't netting $6/hr? Using Mr. Scapers teachings, this employee really is netting $4.51/hr.

Hmm....the things you can learn from Erich. In this case I net a comfortable $8.48/hr.

But hold on! What IF you don't work 40 hour weeks and have no desire to? Noone said you HAVE to work a 40 hour week? What about people with internet enterprises earning ca$h while they sleep? Sleeping isn't what I'd include in a 40 hour work week....therefore their $/hr would be drastically higher?

You must have been some economics geek in school??? Is this oppurtunity cost??? (it's been years)

Please don't make me think. Thanks!

[Scaper-S2k]

Mastermower, no offense, but I've been through the 'verbal meat grinder' many many times. It doesn't really effect me any more. There might be better people on here to direct it towards. I may just be one of the last 10 guys remaining on here that doesn't mind your presence and has no beef with you. At least going by previous readings I have gone through. I don't mind anyone here.
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Where does a McDonalds Employee come into the game plan when we are talking about employers?


If you go out and work for 5 weeks and make $5,000 each week, you did pretty good huh? But if you only work 5 weeks out of the year, are you going to tell us you make $125 per hour?


That's all I am saying. By the way, when I say 'you', I mean anyone, not directing it to you Mastermower.



You NEED to budget for the ENTIRE year (not just the growing periods), and average out your hourly rate including NON-working hours. As stated, not doing that is what will kill many new guys.

What are you AVERAGING per hour over the ENTIRE year???? 2080 hours.

I hope that makes sense, and I'm not being sarcastic.




P.S. - Yes, if a person is sleeping and the biz is still making $$$$ (in your internet example), then the opposite applies. When someone says they made $200,000 per year, most would figure an hourly rate using the 40 hours/week. They wouldn't say "Gee, you make $25 every 30 minutes sleeping or not." They would just figure that person averages $96/hr.

[Scott]

so our $18.50 joke is really no joke? ohhhh, nooo, I'm in trouble.

[MASTERMOWER]

so our $18.50 joke is really no joke? ohhhh, nooo, I'm in trouble.

Perdy accurate.

[Scott]

Can't hold back.....

So a You must have been some economics geek in school??? Is this oppurtunity cost??? (it's been years)

can't hold back...

you know the more I read your ramblings, look at your ripe age of 25, hear you talk about 3 year old small batteries, discuss bizness sense like you run a multi-faceted operation with a fleet of vehicles, make comments like: "it's been years" or question somebody "is this opportunity cost", and then to top is off with a 4.26 daily post avg a day not to include your other 3000 posts in the off topic forum and still get out to cut 70+ yards a week, I must sit back, cross my arms, scrunch my face up to one side and say, "yeagh".

[MASTERMOWER]

can't hold back...

you know the more I read your ramblings, look at your ripe age of 25, hear you talk about 3 year old small batteries, discuss bizness sense like you run a multi-faceted operation with a fleet of vehicles, make comments like: "it's been years" or question somebody "is this opportunity cost", and then to top is off with a 4.26 daily post avg a day not to include your other 3000 posts in the off topic forum and still get out to cut 70+ yards a week, I must sit back, cross my arms, scrunch my face up to one side and say, "yeagh".

70+ per week? Who said THAT?

Been cutting grass for over ten years....no joke. You forgot placed 2nd in a landscape maintenance equipment operation competition a few years back.....out of a field of 50.....didn't even know what the damn competition was about.....mowing and such is systematically automated to me anymore! Don't believe me? (google) Screwed outta 1st only due to lack of childrens safety(?).

Ho Hum. Wanna come work with me for a week?

Thinkin 'bout attending some business schooling in NJ over a few days in September.....perhaps....I dunno.....

No point....just some 'stuff' to help fuel you further.

[Scott]

No point....just some 'stuff' to help fuel you further.

Right ON!

Been cutting grass for over ten years....no joke.

who's laughing?

You forgot placed 2nd in a landscape maintenance equipment operation competition a few years back.....out of a field of 50

oh I missed that one, you got a link?

.....didn't even know what the damn competition was about

I thought you said is was about landscape maintenance equipment operation. It must have been a sad day when 49 other guys can't operate landscape maintenance equipment

....mowing and such is systematically automated to me anymore!

what does mowing have to do with landscape maintenance equipment operation, oh you must mean lawn maintenance equipment operation

Don't believe me?

wha? never said that

(google) Screwed outta 1st only due to lack of childrens safety(?).

did the child live?

Ho Hum. Wanna come work with me for a week?

Ho Hum?,, that offer is pretty temping but I'll have to take a rain check on that one thank you.

Thinkin 'bout attending some business schooling in NJ over a few days in September.....perhaps....I dunno.....

why not just download "ispell" checker, you'll come across much more educated.

[GrassMaster]

To each his own...

You NEED to budget for the ENTIRE year (not just the growing periods), and average out your hourly rate including NON-working hours. As stated, not doing that is what will kill many new guys.

What are you AVERAGING per hour over the ENTIRE year???? 2080 hours.

I hope that makes sense, and I'm not being sarcastic.

P.S. - Yes, if a person is sleeping and the biz is still making $$$$ (in your internet example), then the opposite applies. When someone says they made $200,000 per year, most would figure an hourly rate using the 40 hours/week. They wouldn't say "Gee, you make $25 every 30 minutes sleeping or not." They would just figure that person averages $96/hr.

Please understand that Mr. Scaper-S2k is always looking at the whole Enchilada or you might say the whole ball of wax...

This is what makes him so successful, most people look at what their making at the time being. He's already ran the numbers for the year, he knows how many billable hours he needs to make to keep his garage floor heated at home in the winter...

Now all he's got to do is get the minimal per man hour to meet his goals for the year. Then anything above that is extra profit to keep that killer fleet of vehicles going that he has at work & the ones at home in the garage.

You can know all about Lawn Service - Landscaping Business & work your self to death, but if you do not know your cost of doing business, there's no way you can bid properly & meet your goal of billable hours and make a nice profit by the end of the year.

I have a Dentist friend that wanted to purchase 2 duplexes but he doesn't do well in the wheeling & dealing department. He hired me to talk to the owner, he gave me the highest figure he would pay for them & what he originally was going to pay for them. The Doc really wanted them because they were next to 4 other duplexes he already owned.

After a little over 1.5 hours of building inspection, going over rent per month, repairs needed & taxes, wheeling & dealing redneck style. I talked the guy down over $10K what the Doc originally planned to pay for them.

The Doc was happy & paid me with 2-1 Troy Oz. South African Krugerrands, which at that time gold was over $800 maybe $900 an Oz. You can say I made almost a $1,000 an hour & I did, but not an hour for the whole year.

This is where looking at the whole ball of wax for the year pays off.

I've made far more than a $1,000 an hour but those opportunities are very few & very far between.

Now member Elwood probably clears more than that an hour at least a few times a month, maybe a week & don't even think twice about it?

Remember this... Always Buy Low & Sell High!

It's what you make a year & how long it takes you to make it, that's what counts! It don't take much for me too live on now so I'm happy with anything over $18.50 for each day I actually work!