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Including Profit and Taxes in Hourly Rate

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  • Including Profit and Taxes in Hourly Rate

    Does any one do this the same way I do it?

    I have my profit, which is 15% and my tax rate, which is also 15% (generally, it may vary) set up in my hourly rate. Does anyone else do this?

  • #2
    I would think that is the ideal way to go. If you don't include your expenses, taxes, and profit in your hourly fee, where else would the money come from?
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    • #3
      I know that was possibly a silly question, just wanted to make sure I was doing it right. I want to know my costs this time around, thank you

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      • #4
        Check with your state tax department, here it would be against the law to include tax in your rate, it has to be shown seperate and you muct include your tax number on all invoices.
        Andy
        Halifax, Nova Scotia

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        • #5
          Oh that is a very good point. Your area may require you to charge sales tax and as Andy said, if you need to collect that, include that on a sales tax line in the sub total of your invoices.
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