price guides

[Werth]

Evening all, iv recently took the jump and gone self employed. I am managing to create a lot of work via leaflet drops, business cards etc. which i'm delighted about. My only concern is that I may be charging too little. I know people don't like posting things like prices online but I would just like a guide of what I should be charging, I am from the north of England, any advice, tips that you could share would be great. thanks in advance.

 

[plumber0808]

I don't think anyone is going to discuss what they charge on a open forum, get in the Arms and you might have some discuss prices.

 

[erj]

if your happy with what you are getting, why worry be happy

 

[dancinplumba]

You tell us first

 

[woodytheplumber]

every job i charge differently but when working for builders on day rate anything between 120 and 150 depending on distance travled

 

[Ray Stafford]

Hi Werth

This thread might help

Ray

 

[Masood]

Whereabouts in the North? Places like Harrogate are really expensive but I have it on good authority that in Huddersfield you can buy a house for 37p!

Seriously, though - rates vary even in parts of the same city. If I do a job in the City or West End, my rates can be doubled and people won't bat an eyelid. In fact, if you're too cheap people are suspicious. If I head into parts of Essex I get people looking at me in disbelief at my normal rates...

Ask a few local guys and go from there.

 

[AWheating]

i work for the max somebody is willing to pay me, which currently is not alot.

 

[Richie_77]

I aim of 180 a day in Hampshire and seem to be a little on the cheap side most are are charging 200-220.
I try to steer clear of builders as they've a habit of going under just before you put your final bill in. If I have a bad feeling about someone I always ask for material cost up front least then if things do go bad it's just the labour time lost.

 

[Werth]

in the beginning few months I have been aiming for around 100 a day. after the feedback received I think I need to be upping my price a little. thanks guys.

 

[erpkid]

in the beginning few months I have been aiming for around 100 a day. after the feedback received I think I need to be upping my price a little. thanks guys.

Up North rate will be lower but there is no reason why yours should be. You have a lot more competition than us now Southern softies ( I'm from Yorkshire BTW ) but if you are doing good work then raise your prices. At some point you will start to lose business. Just below this rate is your ideal price point. I was a busy fool for quite some time before this sunk in.

 

[Richie_77]

Up North rate will be lower but there is no reason why yours should be. You have a lot more competition than us now Southern softies ( I'm from Yorkshire BTW ) but if you are doing good work then raise your prices. At some point you will start to lose business. Just below this rate is your ideal price point. I was a busy fool for quite some time before this sunk in.

I started out last december and am currently doing the busy fool bit at the moment. Ive always maintained a small customer base but since ive started ive only had one slack day with no work. ive been very lucky though am wondering when the works going to start drying up.

 

[woodytheplumber]

AS IK SAID I CHARGE BETWEEN 120 AND 150 BUT SAY I AM DOING A BATHROOM ON PRICE WORK I CHARGE IT AT 150 ISH PER DAY usual bathroom for me to plasterboard skim seal tile and fit the new pottery is 15 work days buit I have been known to do the 15 days straight inc sat and suns so a good 2 weeks work! I love my job and love happy customers after if you can offer good value for moneuy and happy customer who recommend you you can charge what ever ! (if I have a 10er more than the wife can spend I am very happy and that's my outlook on work!)

 

[Mike Jackson]

120 -150 a day is too low unless you are really slow. It's a wage but you need to be charging as a business. Factor in all of the running costs, van insurance, van repairs, public liability, tool renewals and you will soon find that you are actually working for a pittance. Then figure in holidays, time spent on paperwork etc. You shouldn't need to work 7 days a week, 365 days a year to get by. Most of your customers work 9-5 5 days a week and get 5 weeks holiday a year.

People charging too little are undervaluing the profession.

 

[Mrs Tara Plumbi]

OMG some of the prices are so low!

If you are subcontracting to a main contractor on day work that should be the lowest rate you can work for.
Working for private customers needs to be higher.
And your hourly rate needs to be higher in proportion to take account of travel.

Yes check what the competition is charging but you can't keep working for rates that are so low they don't cover all your bills.
So add up everything including accountant fees, running the van, adverts, and you own home costs don't forget hair dressing, etc.
ANd don't forget you have got to pay income tax and there will always be some unexpected expense.
I think if you have no kids and live in the back of your own van then you can probably live on £100 a day, I would guess most sole-traders with business overheads would need to clear £750-£1,000 in order to really cover costs and pay taxes.

We give fixed prices and i am not going to tell you what they are based on but I will come back to this thread with some maths a little later - in our house Maths is my job.

 

[joni os]

If you want to clear £100 per day add on £50 for the taxman then VAT at 20%. (100 + 50)x 1.2 =£180 to start. Van costs and replacement tools need to be covered as well. Work for less and you will have many happy customers, but when the taxman knocks at your door your happy customers won't be paying his bill.

 

[SimonG]

Unbelievable, working for 100 a day, give your heads a shake or get a job in Tescos.

 

[Mrs Tara Plumbi]

If you want to clear £100 per day add on £50 for the taxman then VAT at 20%. (100 + 50)x 1.2 =£180 to start. Van costs and replacement tools need to be covered as well. Work for less and you will have many happy customers, but when the taxman knocks at your door your happy customers won't be paying his bill.

joni os answer is brilliant!
Start with this.


You need to earn what you need at home AND cover your business overheads. Here are some suggested figures for business overheads, real figures could be very different:

NOTE: really rough ANNUAL figures:
Business overheads
£300 accoutant
£400 public liability insurance
£ - ? are you GSR?
£ ? - membership of anything?
£2,000 advertising
£5,000 diesel in the van
£3,000 van maintenance, MOT, TAX, repairs, new tyres and depreciation (saving to buy a replacement - perhaps this figure should be bigger).
£400 tools replace/ repair/ maintain.
£100 stamps & stationary - sending out your quotes/ printed invice books etc...
£100 towards computer/ printer stuff
£500 phone

Rough total business expenses for sole trader: £11,000.
So lets say you need to earn £1,000 a month to cover your business overheads!
My figures might be way out so fill in your own.

So if you marry the reply from joni os and my figures for business overheads :

if you need £100 per day for your self x 5 days a week x 48 weeks in a year
Then you need to charge
£180 + £50 per day (overheads)

We pay various subcontractors (not plumbers though) and we usually pay around £120 to £180 - excluding VAT. I would expect the guys to charge the public more than this.

 

[AlexGas]

Charge what you’re worth! As long as you can get the job. The choice is yours.