We have been in business for over 9 years. Knowing your hourly rate can determine how much time a specific job will take. A component of conducting business is knowing how to measure your work, time and labor. All “service businesses” need to know their hourly rate ! To do this:
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Add the total number of man hours of a single job. (7 man hrs.)
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Divide the invoice amount (excluding taxes) by the man-hours. (Inv. Amount $475.)
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$67.86 Is you hourly rate per man hour.
When you know your hourly rate, you can reverse this dividing your invoice amount by the hourly rate to determine how much time it will take to perform future jobs.
To determine your man hours for the job :
Invoice Amount $475. / 67.86
7 Hours to complete the job.
In my area, hourly rates range between $55 to $67 per hour. If your averaging less than this, you are doing your family a disservice!