Author Question: When considering offering a position to a new technician for a hourly flat rate of 20.00 what ... (Read 94 times)

HudsonKB16 · **on:** Jun 23, 2018

When considering offering a position to a new technician for a hourly flat rate of 20.00 what percentage should take into consideration to add to the rate to calculate total cost to the shop for this new employee?

What will be an ideal response?

Question 2

What is the advantage or disadvantage in the Hourly Rate Pricing method?

What will be an ideal response?

jgranad15 · **Reply #1 on:** Jun 23, 2018

Answer to Question 1

20 to 40

Answer to Question 2

Hourly rate make it more difficult for the shop to be competitive for common jobs; does not allow for a upfront estimate to be given which is required by law in most states.
It does have the advantage of allowing the charge to the customer for the actual time needed in complex and difficult repairs that are outside the norm.