One of the biggest mistakes contractors make is not pricing their service labor rate correctly. If you are not priced correctly, bad things are going to happen. What you might not know is that there is a proven formula for properly setting your service labor rate to ensure profitability and long term sustainability.

The formula involves 5 main components:

• Base wage of your technicians
• Efficiency (hours you pay your tech vs how many of those hours are billed to the customer)
• Benefit costs (Health care, etc.)
• The Key Performance Indicator for the cost of wage vs. street labor rate (we’ll tell you exactly what this should be)
• Discounts associated with service agreements

Join us as we walk step-by-step through the entire process for accurately setting your service labor rate, factoring in all of the necessary components so that your company has the best opportunity for long term success and profitability.

Questions:

Contact Robin Faust

916-582-3639 | rfaust@egia.org