Lawn Care Business Forum Lawn Care Business Book Lawn Care Business Blog Lawn Care Software
Home Forum Contract & Flyer Templates Blog Software Videos Podcast Calculators / Estimators Store Mower Review Design It Yourself Lawn Business School

Go Back   GopherHaul Landscaping & Lawn Care Business Marketing Forum > Business > Lawn Care Employees Discussions

Lawn Care Employees Discussions Discussions on lawn care employee related issues.

What percentage of labor payout is acceptable?


Lawn Care Employees Discussions

Discussions on lawn care employee related issues.
Reply
 
Thread Tools Search this Thread
  #1  
Old 10-08-2009, 10:55 PM
llelywynn
Guest
 
Posts: n/a
Default What percentage of labor payout is acceptable?

I was wondering what percentage of labor is others paying out.It seems that my payout is around 20 to 25 % for 1 person helping me,and around 33 to 40% for 2 persons. Is this normal for others?
Paul
Reply With Quote

Stop guess-timating. Learn how to estimate and make money! $$$
Mow Time Estimator Lawn Care Price Estimator Mulch and Topsoil Calculator Snow Plow Estimate Calculator


  #2  
Old 10-09-2009, 03:13 AM
picframer's Avatar
picframer picframer is offline
Andy
 
Join Date: Jan 2009
Location: Halifax, Nova Scotia
Posts: 2,885
Rep Power: 10
picframer will become famous soon enough
Default

Lawn care business tipsLawn Care Business Book
Quote:
Originally Posted by llelywynn View Post
I was wondering what percentage of labor is others paying out.It seems that my payout is around 20 to 25 % for 1 person helping me,and around 33 to 40% for 2 persons. Is this normal for others?
Paul
Depends....

General Labor person i.e. trimmer, blower, edger other duties as assigned 25%

Mower 35% this person in my company is generally a driver also

Loader/excavator operator - 35%

Keep in mind this is our average, I have quoted some jobs a flat rate for say a drain install and my labor costs have been as low as 18%, others I made a mistake on and my cost rose to as high as 62%
__________________
Andy
Halifax, Nova Scotia
Reply With Quote
  #3  
Old 10-09-2009, 06:22 AM
Steve's Avatar
Steve Steve is offline
Administrator
 
Join Date: May 2003
Posts: 37,122
Rep Power: 10
Steve has disabled reputation
Default

Quote:
General Labor person i.e. trimmer, blower, edger other duties as assigned 25%

Mower 35% this person in my company is generally a driver also
So let's say for instance a home owner is charged $100 to mow their lawn. $25 would go to a general labor person and then $35 would go to a 2nd staff member that would mow and drive?

So out of that $100, ($35 + $25) would go for labor? Or $60 which would be 60%?
__________________
- Subscribe to my Lawn Care Marketing Blog Feed and get daily tips sent to you. Free!
Download your Free trial of Gopher Lawn Care Software.
Reply With Quote
  #4  
Old 10-09-2009, 02:42 PM
llelywynn
Guest
 
Posts: n/a
Default

Quote:
Originally Posted by Steve View Post
So let's say for instance a home owner is charged $100 to mow their lawn. $25 would go to a general labor person and then $35 would go to a 2nd staff member that would mow and drive?

So out of that $100, ($35 + $25) would go for labor? Or $60 which would be 60%?
I think it would be ok if the "driver/mower" was yourself,but 60% is way too much
Reply With Quote
  #5  
Old 11-03-2009, 01:55 PM
jasonw's Avatar
jasonw jasonw is offline
Senior Member
 
Join Date: Feb 2009
Posts: 1,008
Rep Power: 8
jasonw is on a distinguished road
Default

I try to shoot for 19% but generally its higher, around 30-40%. This is only because I am lazy and hire help that I don't need for small jobs that don't require the help. I would say if it gets over %19 then do the job yourself and don't pay labor. If they are large jobs that require labor either find cheaper labor or raise your bids.
__________________
White Company
Reply With Quote
  #6  
Old 03-17-2010, 09:11 PM
manicuretouch manicuretouch is offline
Junior Member
 
Join Date: Mar 2010
Posts: 2
Rep Power: 6
manicuretouch is on a distinguished road
Default

I new to this forum. So, you are paying a % of the job instead of an hourly wage? If so, have you all found this method better than hourly and why?
Reply With Quote
  #7  
Old 03-18-2010, 03:36 PM
Steve's Avatar
Steve Steve is offline
Administrator
 
Join Date: May 2003
Posts: 37,122
Rep Power: 10
Steve has disabled reputation
Default

You could go either way.

I would think you might need to have a base salary because your employees would probably quit if they weren't getting at least a minimum salary they could depend on per week.

A % is great if you are trying to get them to work harder, better, faster!

I have yet to see a standard % that has seem to work across the board for everyone.

Are you leaning towards one over the other?
__________________
- Subscribe to my Lawn Care Marketing Blog Feed and get daily tips sent to you. Free!
Download your Free trial of Gopher Lawn Care Software.
Reply With Quote
  #8  
Old 03-19-2010, 08:35 AM
manicuretouch manicuretouch is offline
Junior Member
 
Join Date: Mar 2010
Posts: 2
Rep Power: 6
manicuretouch is on a distinguished road
Default

Quote:
Originally Posted by Steve View Post
You could go either way.

I would think you might need to have a base salary because your employees would probably quit if they weren't getting at least a minimum salary they could depend on per week.

A % is great if you are trying to get them to work harder, better, faster!

I have yet to see a standard % that has seem to work across the board for everyone.

Are you leaning towards one over the other?
I'm leaning toward a percentage for exactly what you said - being more efficient. We don't have any full-time employees (except me) so a minimum salary isn't an issue right now. I've been checking around for what other companies use for percentages. I'd be interested to know if other companies are doing this and using what %.
Reply With Quote
  #9  
Old 03-19-2010, 06:39 PM
Steve's Avatar
Steve Steve is offline
Administrator
 
Join Date: May 2003
Posts: 37,122
Rep Power: 10
Steve has disabled reputation
Default

I had gotten a few articles up in my blog about this in the past and there is much discussion here in older posts. Look for employee compensation and read some of the articles here

http://lawnchat.com/?cat=83

Let me know if any of that helps.
__________________
- Subscribe to my Lawn Care Marketing Blog Feed and get daily tips sent to you. Free!
Download your Free trial of Gopher Lawn Care Software.
Reply With Quote
Reply

Bookmarks

Thread Tools Search this Thread
Search this Thread:

Advanced Search

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is On
Forum Jump

Similar Threads
Thread Thread Starter Forum Replies Last Post
subcontracting labor? jasonw Starting a lawn care business. 7 09-02-2009 07:00 PM
Labor Pay Saddlewood Lawn Care Employees Discussions 15 02-23-2009 08:39 AM
What percentage of your estimates do you win? Steve Online Lawn Care Estimator - Help me bid this job 6 07-23-2008 07:51 PM
Labor spreadsheet grounded General Business Discussions 0 08-19-2007 07:48 AM
Percentage of Gross tiedeman Truck, Trailer, and Outdoor Power Equipment Discussion, Repairs. 5 12-20-2006 01:33 PM

» Recent Threads
  RatingTitle, Username, & Date Last Post Replies Views
Ferris FW35 questions
Chilehead
03-10-2015 08:31 PM
Yesterday 03:14 PM
by Dan Tanner
5 385
bidding a cemetery....
NPM_LLC
Yesterday 10:56 AM
Yesterday 12:43 PM
by jrs.landscaping
3 64
First big mower decision?
SGL1
Yesterday 08:58 AM
Yesterday 08:58 AM
by SGL1
0 53
Employee job training...
brookline
12-15-2014 07:15 PM
Yesterday 08:43 AM
by biglee
28 2,397
Mower vs lot size advice
jcurr33
03-25-2015 09:29 PM
Yesterday 08:37 AM
by Dan Tanner
5 184
Billing methods
jcurr33
03-26-2015 01:33 PM
Yesterday 08:29 AM
by biglee
5 155
Finally got a warehouse
avetslawncare
03-12-2015 07:52 PM
Yesterday 08:25 AM
by SGL1
11 527
Trepidation about...
michellemarvin
03-23-2015 07:46 PM
Yesterday 05:35 AM
by Dan Tanner
2 156
How do you get...
ESREVER
03-25-2015 01:30 PM
Yesterday 12:18 AM
by lxarth
7 196
Bid for large home...
lxarth
03-22-2015 11:06 AM
03-27-2015 11:56 PM
by lxarth
8 300
I lost a long term...
Sprinkler Buddy
09-04-2011 02:24 PM
03-27-2015 11:42 PM
by lxarth
15 3,437
hoa bid need help
bigdaveha12
03-24-2015 08:29 PM
03-27-2015 11:17 PM
by lxarth
6 221
introducing myself
chris2500hd
03-24-2015 11:16 AM
03-27-2015 02:02 PM
by Steve
8 228
Commercial Jobs
CurbAppeal1
03-25-2015 04:22 PM
03-27-2015 12:29 PM
by biglee
5 189
Flag or no flag
Matther777
03-24-2015 02:41 PM
03-27-2015 12:25 PM
by biglee
10 340
Office Administration...
Girlfriend
03-26-2015 05:40 PM
03-26-2015 05:40 PM
by Girlfriend
0 75
Is this tree beyond help?
SGL1
03-22-2015 05:35 PM
03-25-2015 08:55 PM
by SGL1
14 493
Opinions on truck wrap
Trupro
02-28-2015 03:21 PM
03-25-2015 07:54 PM
by Trupro
33 1,569
The New Wave!!!! Read...
Jamesw86
03-22-2015 08:33 PM
03-25-2015 02:50 PM
by Steve
10 316
grass in the gas tank
robkattankate
03-23-2015 04:37 PM
03-25-2015 02:36 PM
by Steve
5 189
Helping others
hansenslawncare
09-15-2011 08:50 PM
03-25-2015 02:33 PM
by Steve
11 2,662
DOT Number
acrajchel
03-20-2015 05:56 PM
03-25-2015 02:28 PM
by Steve
7 319
Michelin x tweel.
apmAkron
03-23-2015 04:22 PM
03-24-2015 12:40 PM
by Steve
3 142
spike aerator???
Bradcook21
03-21-2015 01:55 PM
03-24-2015 10:32 AM
by acrajchel
4 223
Hello from Maryland
michellemarvin
03-23-2015 12:44 PM
03-23-2015 07:33 PM
by michellemarvin
2 134
hello from south GA.
CCandALawnCare
03-23-2015 03:46 AM
03-23-2015 07:06 PM
by CCandALawnCare
2 131
Say Hello !!!
Steve
03-19-2007 11:18 AM
03-23-2015 06:14 PM
by jethro
1,218 380,132
Is anyone doing mosquito...
BWild
01-27-2015 11:30 AM
03-23-2015 12:28 PM
by Steve
9 838
35,000 Eddm
greenscaper123
03-18-2015 12:51 PM
03-23-2015 11:48 AM
by BLC7
18 476
Should i take on this...
christw
03-17-2013 01:23 PM
03-22-2015 09:02 PM
by ExtremeLawncareServices
36 7,569
mower stalls when...
boog
03-19-2015 08:20 AM
03-21-2015 08:13 PM
by Wolf4dk
7 269
Weed and Feed
robkattankate
03-19-2015 09:00 PM
03-21-2015 01:53 PM
by Bradcook21
4 314
These are the days on...
ExtremeLawncareServices
01-11-2015 10:41 AM
03-20-2015 10:00 PM
by ExtremeLawncareServices
32 3,623
Hello Emily Reyes from...
Webster14829
03-20-2015 11:23 AM
03-20-2015 03:36 PM
by Steve
2 184
Finally going to give it...
jcurr33
03-12-2015 08:09 PM
03-20-2015 03:31 PM
by Steve
10 556
Weed id?
SGL1
03-17-2015 08:20 PM
03-20-2015 02:37 PM
by Steve
6 288
Mobile small engine...
luckylogger
03-15-2015 02:05 PM
03-20-2015 06:17 AM
by jrs.landscaping
15 489
Brad Cook 21
SC93
03-16-2015 10:40 PM
03-19-2015 09:04 PM
by Bradcook21
4 361
honest opinion please
uppercut
02-17-2015 01:30 AM
03-18-2015 02:55 PM
by Steve
15 1,330
Repair or replace the...
lxarth
12-17-2014 04:07 PM
03-18-2015 02:49 PM
by Just for Cuts
21 2,034
new to the site
bigdaveha12
03-17-2015 09:13 PM
03-18-2015 02:33 PM
by Steve
1 213
Small dovetail truck...
ExtremeLawncareServices
03-04-2015 06:47 PM
03-17-2015 10:14 PM
by ExtremeLawncareServices
17 869
New Site Hows it look
Infinitelawn
03-16-2015 10:32 AM
03-17-2015 08:15 PM
by SGL1
3 288
mulch questions
Bradcook21
03-08-2015 08:37 AM
03-17-2015 07:00 PM
by Bradcook21
23 1,005
Scag hydro w/b frame...
Just for Cuts
03-11-2015 03:32 PM
03-17-2015 06:37 PM
by lxarth
11 506
Buy new or used?
lxarth
12-26-2014 09:50 PM
03-17-2015 06:11 PM
by lxarth
14 1,716
New to 2015
Infinitelawn
03-16-2015 08:29 AM
03-17-2015 11:47 AM
by Steve
4 298
Pulling trailer was...
SGL1
03-07-2015 07:14 PM
03-17-2015 08:11 AM
by SGL1
30 1,147
Diesel conversion?
Just for Cuts
03-02-2015 09:59 AM
03-16-2015 03:26 PM
by Just for Cuts
10 648
trimmer racks.
apmAkron
03-12-2015 09:07 AM
03-16-2015 03:17 PM
by Steve
4 367
» Popular Tags
apartment complex auger bark billy goat brushcutter blades blowout bob villa collections commercial design edging employee problems equipment rental ferris flyers foreman free advertising grass growing a lawn care business hardscapes hills hiring husqvarna hydraulic introduction john deere quik trac landscape landscape services landscaping training lawn aeration lawn care lawn care business seo lawn care business website lawn care business website seo lawn care seo lawn care website marketing more customers business mr dave new business ordinance past due patio install per hour charge pricing profit on employee pto push versus ride running a business scag v-ride scripts search engine optimization secrets to landscaping sell the vision seo shell small engine repair square foot sulky toro grand stand trailer tree trimmer rack truck new used landscape walk behind web design website website design winterization won't return
Powered by vBadvanced CMPS v3.1.0

All times are GMT -5. The time now is 06:54 AM.


(C) 2011 Riggs Publications - Terms of use & Privacy Policy

All times are GMT -5. The time now is 06:54 AM.

(C) 2011 Riggs Publications - Terms of use & Privacy Policy