what should i charge?

[Beeza13]

Hi guys

I've just started out on my own as a plumber (no gas)

I'm based in loughborough and mainly work nottingham, loughborough and Leicester. but I'm originally from Teesside so I'm just trying to work out a correct day rate/ hourly rate? even though I tend to just do a job rate
I keep getting told I'm too cheap so getting a fair few jobs but don't want to be stepping on, other lads toes by undercutting them majorly.
any advice would be appreciated cheers Dave

 

[ShaunCorbs]

What’s your charges now

 

[Beeza13]

no call out fee
20-25ph small jobs
150 full day max I do tend to adjust now and again

 

[Harvest Fields]

Yes. I would say far too cheap.

 

[Beeza13]

what would u think us reasonable for this area? as don't know where u are based
and should i do a call out charge as I'm setting up in this area?

 

[Harvest Fields]

what would u think us reasonable for this area? as don't know where u are based
and should i do a call out charge as I'm setting up in this area?

Call around a few local places and see what they charge for similar jobs that you want to do.

 

[Beeza13]

Call around a few local places and see what they charge for similar jobs that you want to do.

Cheers for advice I do realise some lads get the hump when u ask that

 

[Harvest Fields]

Cheers for advice I do realise some lads get the hump when u ask that

Not the hump mate. It’s just really difficult to answer. It depends on far too many factors.

 

[ShaunCorbs]

Around 200-250 a day ish around 25-30 an hour ish approx

 

[Scott_D]

If it’s small jobs I would charge more for the first hour. Otherwise you will be running round all day and have earned £75 and spent £20 on fuel.

 

[Mastermixlee]

no call out fee
20-25ph small jobs
150 full day max I do tend to adjust now and again

I'd pay you to come do all mine at that rate rather than doing myself lol.

Definitely up your costings I'd say. Not familiar with your area. But best way would be to work out your outgoings first (I know can be difficult when first starting) and go from there.

Work out vehicle costs (cost to purchase vehicle, maintenance and repairs, fuel costs, insurance etc).

Cost of tools (both initial cost and ongoing costs of consumables if not charging every item against a job)

Cost of public liability insurance.

Etc etc.

Then see how much work you'd need to do at what rate to cover all those costs. Now add to that until you feel comfortable with the earnings you'd make.

I know quite a few gas engineers who price themselves way too low and don't realise until end of year and tax is due and then realise the situation they've put themselves in by under pricing their work.

Good luck on your journey

 

[Murdoch]

Try just doing small jobs for £20 a pop and see how little you will earn ...... you won’t do many per day either .......

 

[Jim09876]

There’s no right or wrong answer mate, I say charge as much as possible without upsetting your customer! Worse when a customer says “I’m using you, just name a price?”

 

[SimonG]

250 a day
35 an hour
50 first hour

Also depends on your expenses.

 

[Chuck]

If you haven't done so already, I'd recommend getting yourself a good accountant. Preferably a small one who specialises in small traders and recommended by someone you know. They'll help you figure out what you need to charge to stay viable and will also make sure you know how much to put away for a pension, tax, insurance, etc. all of which add up rapidly. They'll also be able to tell you how to offset expenses against tax and make sure that the wording you are using for quotations, contracts, late payment reminders, etc. is legally water-tight.

Good luck.

P.S. Make sure you buy some decent knee pads AND WEAR THEM from day one.