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: 9
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 online now
Administrator
 
Join Date: May 2003
Posts: 35,740
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: 7
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: 5
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 online now
Administrator
 
Join Date: May 2003
Posts: 35,740
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: 5
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 online now
Administrator
 
Join Date: May 2003
Posts: 35,740
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 Outdoor Power Equipment Discussion, Repairs, Buy or Sell 5 12-20-2006 01:33 PM

» Recent Threads
  RatingTitle, Username, & Date Last Post Replies Views
What Fertilizer to Use?
acrajchel
04-07-2014 01:56 PM
Yesterday 11:20 PM
by ExtremeLawncareServices
10 289
leaf removal
tlf59263
04-15-2014 10:00 PM
Yesterday 09:38 PM
by kslawn
3 119
this mower is driving me...
boog
Yesterday 12:07 PM
Yesterday 09:35 PM
by kslawn
1 61
REO calling
Dan Tanner
04-16-2014 05:03 PM
Yesterday 09:23 PM
by kslawn
7 160
Truck Signage
Dan Tanner
04-16-2014 11:00 PM
Yesterday 09:08 PM
by BelleCityLawn1
8 138
Help with weed liability!
Prolawnofchatt
04-15-2014 09:10 AM
Yesterday 08:06 PM
by Prolawnofchatt
4 155
Pay per click advertising
roostertail
02-12-2014 07:26 PM
Yesterday 07:11 PM
by yardrate
10 582
Looking for advice on a...
Tekeda1
04-13-2014 09:53 AM
Yesterday 05:56 PM
by Tekeda1
15 301
Instagram
Gerardo_Landscape
04-16-2014 11:28 AM
Yesterday 11:50 AM
by Steve
1 53
These are the days on...
ExtremeLawncareServices
03-22-2014 09:12 AM
04-16-2014 08:26 PM
by ExtremeLawncareServices
30 986
Nationwide lawn care...
Billy Goat
04-15-2014 05:21 PM
04-16-2014 07:35 PM
by stevef1201
8 166
Accepting credit cards,...
Darksteel
03-17-2014 08:01 PM
04-16-2014 01:02 PM
by jymie
15 694
Trimec
acrajchel
04-15-2014 08:24 PM
04-16-2014 11:10 AM
by Steve
3 82
Gopher Forum Discount!
BlackRain75
04-12-2014 10:44 PM
04-16-2014 10:50 AM
by Steve
9 240
hello
NFrailey
04-15-2014 01:39 PM
04-16-2014 10:48 AM
by Steve
1 76
Any greenhouse operators...
GoGreenerKS
04-15-2014 11:21 AM
04-16-2014 10:43 AM
by Steve
3 95
Pricing a Mulch Job
dmcalpi
04-07-2014 02:16 PM
04-16-2014 09:40 AM
by jymie
21 570
google earth
CDLAWNCARE
04-12-2014 03:24 PM
04-16-2014 09:36 AM
by jymie
8 200
There has to be an...
CDLAWNCARE
04-14-2014 12:59 PM
04-15-2014 04:06 PM
by Dan Tanner
6 149
First Day Back!
BelleCityLawn1
04-09-2014 09:13 PM
04-15-2014 11:16 AM
by Steve
11 284
Mow America
stevegredler
04-13-2014 01:02 PM
04-14-2014 09:53 PM
by kslawn
5 174
Power Broom
acrajchel
04-14-2014 07:46 AM
04-14-2014 12:47 PM
by CDLAWNCARE
2 89
Say Hello !!!
Steve
03-19-2007 11:18 AM
04-14-2014 11:34 AM
by Steve
1,176 284,682
Equipment reviews
Greg'slawnandlandscape
04-09-2014 07:17 AM
04-14-2014 11:27 AM
by Greg'slawnandlandscape
13 393
Sulky and Turf Tracer
acrajchel
04-07-2014 01:44 PM
04-14-2014 10:51 AM
by Steve
8 292
Aerating Prices?
Dan Tanner
04-08-2014 03:16 PM
04-14-2014 10:31 AM
by Steve
13 395
Estimating help
acrajchel
04-11-2014 06:06 PM
04-14-2014 10:20 AM
by Steve
3 151
Lawn Renovation
stevef1201
04-11-2014 12:00 PM
04-14-2014 10:03 AM
by Steve
5 169
Need help bidding church...
GreenRidge Lawn&Landscape
04-07-2014 08:01 PM
04-14-2014 09:49 AM
by Steve
12 387
Hello all
Griff20114
04-12-2014 05:08 PM
04-14-2014 09:46 AM
by Steve
1 95
Step by Step Spring Lawn...
WarriorLawnscaping
04-10-2014 07:01 AM
04-14-2014 09:43 AM
by Steve
5 207
Jeff Cowden
jcowden
04-11-2014 07:27 PM
04-14-2014 09:39 AM
by Steve
1 94
Exmark Commercial 30...
Dan Tanner
04-11-2014 05:35 AM
04-14-2014 09:37 AM
by Steve
4 169
What Was Your Setup When...
superrman77
02-11-2014 10:53 AM
04-14-2014 08:04 AM
by acrajchel
21 1,556
Small guy time to get a...
googus
04-08-2014 08:16 AM
04-13-2014 07:18 PM
by A. Kulak Landscaping
9 302
Weekly vs. Bi-weekly
CDLAWNCARE
04-12-2014 01:48 PM
04-13-2014 06:03 PM
by kslawn
9 308
Weed ID help
TwinBrosLC
04-12-2014 10:39 AM
04-13-2014 07:40 AM
by stevef1201
4 144
Lexington, KY
acrajchel
04-07-2014 01:06 PM
04-11-2014 09:49 PM
by acrajchel
1 121
Food Plot Management
BlackRain75
04-11-2014 10:20 AM
04-11-2014 03:51 PM
by Steve
4 123
Estimating a job
acrajchel
04-08-2014 11:07 AM
04-11-2014 03:32 PM
by Steve
6 280
New Boomless Sprayer!
BlackRain75
01-03-2014 01:01 PM
04-11-2014 03:25 PM
by Steve
11 995
Hello....
SWFloridaLawns
04-10-2014 06:15 PM
04-11-2014 02:28 PM
by Steve
2 118
Truck, Trailer,...
hawthornelawncare
12-23-2011 12:01 AM
04-10-2014 10:33 PM
by ExtremeLawncareServices
78 25,002
Trading Accounts
goodtimez
04-09-2014 05:42 PM
04-10-2014 01:55 PM
by Steve
2 148
Grass that has...
erock289
04-09-2014 10:21 AM
04-10-2014 01:52 PM
by Steve
3 161
Prowrap Trimmer Engine...
Steve
05-24-2006 07:05 PM
04-10-2014 01:09 PM
by Steve
10 2,198
1st annual Easter egg...
Greg'slawnandlandscape
04-09-2014 06:58 AM
04-10-2014 01:07 PM
by Steve
1 110
Hello everyone
aceslawnandgarden
04-03-2014 06:54 PM
04-10-2014 01:06 PM
by Steve
9 368
Weed control programs
Mallard91
04-02-2014 12:25 PM
04-10-2014 12:56 PM
by Steve
6 331
homeowner vs...
GoGreenerKS
04-07-2014 10:54 AM
04-10-2014 12:52 PM
by Steve
8 282
» Popular Tags
2wd ads aerator butterfly gardens buy charge christmas client craigslist credit card customers echo exmark ferris financing first truck florida flower bed georgia gopherhaul grass grass clarksville gravely health holiday holiday lighting how much to charge how to bid installation kansas city kawasaki lawn care lawn care business book lawn care business podcast lawn care business show leaf lighting brass outdoor lights llp marketing mow mowing mowing clarksville mulch mulch estimate new and restored landscapes new buisness new business new start office management payment podcast property management company redmax savannah scag schedule selling seo sole proprietorship sprayer starting a business start up lawn care business stihl subcontractor tree care unreasonable upsell walk behind walker winter money making ideas
Powered by vBadvanced CMPS v3.1.0

All times are GMT -5. The time now is 05:48 AM.


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

All times are GMT -5. The time now is 05:48 AM.

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