Reply to My carpenter makes $116/hour

Forum Index » Jobs and Careers

Reply to "My carpenter makes $116/hour"

Subject:

Emoticons





More smilies

Text Color: Font: Close Marks

[quote=Anonymous][quote=Anonymous]I sometimes hear that physicians have (in general) a very poor grasp of finance and business because their training is so focused. I have often thought it overblow, but OP is certainly playing to type.

Typical charge-out rate in the trades is around 2 to 2.5x nominal wage. So if he's charging you $116/hr he is probably really making about $50 to 60/hr. On that $116 he is charging you, he has to pay for all his tools, truck, overhead, BOTH sides of SS taxes (remember as a W2 employee you only ever see half of that deducted from your check). He also has to pay worker's compensation insurance, general liability insurance, sometimes has to bond for projects, and have commercial auto insurance.

He also is not having anyone kick in 50-80% on his health insurance, it is 100% his baby.

For him to take home $120k/year he probably needs to be charging you more than he is, frankly.[/quote]
+1 yep. I have been self employed for most of my career, but providing services.  My real take home is more like 70% of what I charge per hour because of all the SE taxes, business and health insurance, no holiday pay, 401k match, etc.. that I have to pay for myself.

Benefits are usually about 30% of the base salary.[/quote]

Options

	Disable HTML in this message
	Disable BB Code in this message
	Disable smilies in this message

Review message

Search Recent Topics Hottest Topics