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: 36,386
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: 36,386
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: 36,386
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
Trying something new,...
ExtremeLawncareServices
Yesterday 09:07 PM
Today 11:46 AM
by Matther777
1 94
30 Inch Push Mowers Pros...
Billy Goat
06-27-2013 08:07 PM
Today 09:04 AM
by CLB454
23 6,323
Kohler command carb...
ExtremeLawncareServices
Yesterday 03:09 PM
Today 04:15 AM
by stevef1201
3 138
Not sure, but anyone do...
SnowRemoval2k14
Today 12:10 AM
Today 12:10 AM
by SnowRemoval2k14
0 74
2014 Gie-expo
ExtremeLawncareServices
08-19-2014 11:22 PM
Yesterday 09:23 PM
by ExtremeLawncareServices
3 903
Tribulations of working...
stevef1201
09-13-2014 08:37 AM
Yesterday 10:10 AM
by stevef1201
8 574
Mulching beds
Bradcook21
Yesterday 07:43 AM
Yesterday 10:03 AM
by stevef1201
2 166
This sucks...
Matther777
09-18-2014 04:56 PM
09-20-2014 07:19 PM
by ExtremeLawncareServices
9 476
These are the days on...
ExtremeLawncareServices
03-22-2014 09:12 AM
09-20-2014 05:39 PM
by ExtremeLawncareServices
120 8,405
Replacing a Shindi T-27
Dan Tanner
09-13-2014 12:59 PM
09-20-2014 03:16 PM
by kslawn
2 581
Scag turf tiger hydrolic...
ExtremeLawncareServices
09-04-2014 10:55 PM
09-19-2014 05:59 PM
by ExtremeLawncareServices
11 937
Mowing 7 acres
avetslawncare
08-31-2014 04:24 PM
09-19-2014 03:29 PM
by acrajchel
6 1,112
snowplowing
jshak40
09-01-2014 07:20 AM
09-19-2014 11:49 AM
by Steve
23 1,500
Looking for feed back on...
ExtremeLawncareServices
09-17-2014 08:38 AM
09-19-2014 08:17 AM
by ExtremeLawncareServices
9 514
Lowballers scrubs &...
Darksteel
01-13-2014 07:35 AM
09-18-2014 06:32 PM
by Northwoods Outdoors
58 6,910
Hello from upstate NY!
A&MLawn&Snow
09-18-2014 11:19 AM
09-18-2014 04:10 PM
by Sprinkler Buddy
2 363
Price to apply fertilizer
SS.Lawncare
09-15-2014 11:10 AM
09-18-2014 01:16 PM
by Steve
9 625
Trailer tires
J.A.S.LawnService
09-01-2014 10:17 AM
09-17-2014 09:57 PM
by curts lawn care
4 1,023
new to the forum
SGlawncare
09-16-2014 11:20 PM
09-17-2014 08:29 PM
by curts lawn care
3 442
Help With Snow Blowing...
Robertf31
09-13-2014 10:55 PM
09-17-2014 12:34 PM
by Steve
11 797
Non-Stop Summer?
SouthallMowing
09-14-2014 10:51 PM
09-17-2014 10:48 AM
by stevef1201
6 578
Poll - net income
Dan5082
11-15-2010 08:08 PM
09-16-2014 04:44 PM
by jrs.landscaping
12 3,313
Getting lowballed!
PineHillLawn
06-27-2012 07:23 AM
09-16-2014 01:25 PM
by jrs.landscaping
24 5,012
Compare this summer to...
Steve
09-03-2014 12:52 PM
09-16-2014 11:20 AM
by Hanks Lawn Care Services
15 1,228
thinking about throwing...
veteranslawncaresystems
09-09-2014 10:31 PM
09-15-2014 03:41 PM
by Steve
12 906
Hello
Robertf31
09-12-2014 10:34 PM
09-15-2014 03:17 PM
by Steve
2 491
Newbie......Again
Jibber
09-13-2014 12:17 PM
09-15-2014 02:54 PM
by Sprinkler Buddy
2 591
need help with starter...
GoGreenerKS
09-12-2014 04:23 PM
09-15-2014 02:25 PM
by Steve
3 513
Brake job!
kslawn
08-30-2014 07:49 AM
09-15-2014 02:16 PM
by Steve
12 1,217
Hello
jawnebgoode
08-28-2014 08:37 PM
09-15-2014 02:15 PM
by Steve
3 987
Employee uniforms
Gerardo_Landscape
01-21-2014 11:11 PM
09-15-2014 02:12 PM
by Steve
5 1,113
Greetings from the north
Northwoods Outdoors
09-13-2014 08:55 AM
09-15-2014 02:07 PM
by Steve
1 477
darleneh
darleneh
09-15-2014 12:33 PM
09-15-2014 02:07 PM
by Sprinkler Buddy
1 480
My 1st bid
WesleySnips
06-11-2014 03:13 PM
09-15-2014 02:05 PM
by Steve
29 1,901
New Aerator
Chaz
09-09-2014 11:43 PM
09-15-2014 01:50 PM
by Steve
9 738
Yearly contract Pricing
jrob0691
08-21-2014 08:57 AM
09-15-2014 01:23 PM
by stevef1201
8 1,389
getting ready to start
calebmoss
05-23-2011 09:35 PM
09-11-2014 12:21 PM
by Steve
34 11,388
Stihl pull cord replace
SGL1
09-03-2014 09:22 PM
09-10-2014 12:25 PM
by Steve
9 910
Softball field
kslawn
08-15-2014 09:28 AM
09-10-2014 12:16 PM
by Steve
18 1,656
Lawn Route Templates
Landscaper1165
08-30-2014 01:52 PM
09-09-2014 08:05 PM
by Landscaper1165
4 1,146
New truck and trailer...
Johnny Rocket
05-14-2012 03:41 PM
09-09-2014 07:23 PM
by Matther777
18 6,725
What gets you bad press?
Steve
09-09-2014 11:48 AM
09-09-2014 07:21 PM
by Matther777
2 605
Signs on your snow plow?
Steve
01-15-2007 01:07 AM
09-09-2014 11:42 AM
by Steve
19 6,353
Exmark Lazer Z S-Series...
BLC7
08-22-2014 10:18 AM
09-08-2014 08:08 PM
by avetslawncare
12 1,423
New to the business
flamingyouth87
09-05-2014 11:52 AM
09-08-2014 11:55 AM
by Steve
3 823
Hello from Ohio
kurtwin
08-28-2014 05:06 PM
09-08-2014 11:51 AM
by Steve
7 1,114
Facebook
element009
03-23-2011 08:36 AM
09-07-2014 07:35 AM
by avetslawncare
24 7,890
Help pricing cut down 7...
Bradcook21
08-26-2014 11:17 PM
09-06-2014 02:09 PM
by Bradcook21
8 1,202
billing matters
sbuchanan8154
09-05-2014 09:56 AM
09-05-2014 03:00 PM
by Steve
3 800
Thoughts
googus
09-05-2014 07:28 AM
09-05-2014 02:23 PM
by Steve
2 737
» Popular Tags
4wd apartment bid auger butterfly gardens charge christmas credit card processing deliquentaccounts estimate exmark ferris first truck foreman gopherhaul grass gravely hills holiday how much to charge how to bid husqvarna introduction john deere quik trac kansas city kawasaki labor cost landscape services late lawn lawn care business book lawn care business seo lawn care business show lawn care business website lawn care business website seo lawn care website leaf cleanup leaf removal lesco lighting managing a lawn care business marketing mowing mulch estimate new and restored landscapes new buisness new mower podcast property management company pto push versus ride reo rotating scag scripts search engine optimization season seo sprayer starting a business starting a lawn care business start up lawn care business steve stihl theft tips toro toro grand stand trailer trimmer rack walker
Powered by vBadvanced CMPS v3.1.0

All times are GMT -5. The time now is 12:53 PM.


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

All times are GMT -5. The time now is 12:53 PM.

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