Calculate Burdened Labor Cost
Build the real hourly employee cost from wage, payroll burden, benefits, insurance, paid time, and other direct labor expenses.
Open resource →FINANCIAL OPERATING GUIDES // 20 ORIGINAL RESOURCES
Pricing, Job Cost & Profitability
Plain-language guides for labor cost, pricing, material markup, job-cost capture, margin review, and financial control.
Establish a Billable Labor Rate
Set a labor rate that covers burdened cost, overhead, nonbillable time, and target gross profit.
Open resource →Build a Flat-Rate Service Price
Create a repeatable selling price from expected labor, material, overhead, risk, warranty, and margin.
Open resource →Parts and Material Markup Policy
Create consistent selling-price rules that cover sourcing, handling, carrying cost, warranty, and profit.
Open resource →Minimum Service Charge
Set a minimum that covers intake, dispatch, travel, arrival, diagnosis or basic service, and administration.
Open resource →Travel and Trip Charge Policy
Decide when travel is included, separately charged, zoned, or treated as a special mobilization.
Open resource →Emergency and After-Hours Pricing
Price limited-capacity work transparently while covering overtime, on-call expense, disruption, and response risk.
Open resource →Estimate Contingency and Risk
Address uncertain access, concealed conditions, permits, subcontractors, and price volatility without hiding scope risk.
Open resource →Good-Better-Best Option Economics
Build legitimate options with distinct scope, value, cost, warranty, and expected outcome.
Open resource →Track Job Labor Accurately
Capture paid and productive time from dispatch through travel, work, documentation, and completion.
Open resource →Allocate Material to the Job
Connect warehouse, truck, purchased, returned, and customer-supplied material to the correct work record.
Open resource →Track Subcontractor Cost
Capture committed and actual subcontractor expense with scope, approvals, insurance, invoices, and customer billing.
Open resource →Review Gross Margin by Job
Compare job revenue with direct labor, material, subcontractor, and other direct costs.
Open resource →Measure Callback Cost
Calculate the labor, travel, material, lost capacity, and customer-recovery cost of repeat visits.
Open resource →Create a Warranty Reserve
Plan for expected future warranty labor and material instead of treating every return as a surprise.
Open resource →Unbilled Work Audit
Find completed work that cannot be invoiced because authorizations, time, material, documents, or approvals are missing.
Open resource →Price Book Review Cycle
Keep labor, material, flat-rate tasks, options, taxes, and descriptions current through a controlled review process.
Open resource →Discount Approval Controls
Protect margin and consistency by defining who can discount, how much, for what reason, and with what record.
Open resource →Change Order Profitability
Price and approve changed scope before the additional work disappears into the original estimate.
Open resource →Monthly Profitability Review
Run a consistent operating review of revenue, gross margin, overhead, labor efficiency, callbacks, discounts, and cash conversion.
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