What should one charge

[genek]

This is how I charge for work done on My shop bot.

Regular/Repeat Customer $1.67 per minute plus material times 3. design time is $40.00 per hour

First Time Customer, Custom work $2.00 per minute plus material times 4.
design time $60.00 per hour.

Hard to get along with customer $3.00 per minute plus material times 5
design time is $100.00 per hour Each step to be paid for before the next step is started.

If you post these price it cuts down on one time jobs and customers that like to complain.


Before I got the shop bot I used to take material divided by the number of parts I got from each board then mark up 3,000 % . I still do this on certain parts. I make very few items that I wholesale for less than $3.00.

[chiloquinruss]

I've always liked:

Shop Rate $50 hour
If you watch $75 hour
If you help $100 hour

:D Russ

[genek]

Russ: what happens if you have to hire someone to do work. My scale allows for me to hire someone to run the bot and still allow for a profit. most parts cut out for me in about a minute each. I just ran 36 bats for a customer for Halloween. it took 28 minutes.. I charge $3.00 for unfinished and $4.00 of them to be painted black no eyes. he wanted them black by the way . He wanted 3/8 plywood. used 3/4 of a sheet.

still your prices are more than fair. and would move product for you at a small profit. I am having to pay over $60,000.00 dollars in surgery bills that my insurance did not pay, so I have to charge like I do.

Retired and Hobbyist can charge less. but I do not recommend them doing that.

[kartracer63]

Eugene,

I'm pretty sure Russ was just joking about his fees.

[genek]

I figured he was. I think he did this to get me to elaborate on my price so that others would understand that you need to charge as if you had employee's.. Russ does this from time to time to get me to explain things more fully.. I have several that do this lol..:):eek:

[gc3]

so if you have a 24-30 hr run time for a 3d file...just curious, how do you charge for that?

[genek]

First I have never had a file that took more than 6 Hours (this was a large sign) the sign was 96 inches by 48 inches. or 8 foot x 4 foot. I charged $150.00 per square foot. ($4,800.00 ) For a file that large you would need to have someone there for the full time. That would mean minimum two men 12 hours each. Just in labor at a decent pay scale of $15.00 per hour you have at least $360.00 for labor. Is that hdu or is it wood. I still would be charging minimum of $1.00 per minute. $1440.00 just in machine time. However If it is a sign I would stick to $2.00 or better per minute for that length of time.

[genek]

All of us needs to be charging as if we had employee's and that we are going to buy new equipment. At some point in time you will have maintenance on your equipment, you will need to replace equipment, add more equipment. and hire more employee. These are the reason you need to be charging minimum of a $100.00 per hour for cnc time. Where is the money coming from when you have a major break down or need to hire someone? I have stressed it is easier to lower prices than it is to raise them. I save a percent (20%) of each job for repairs and replacement. I have room to grow without having to raise my prices. I have room to add on employee's as needed with out raising my prices. Most think well I can charge $60.00 per hour and that will take care of every thing. Then they have a major breakdown they either have the money ready, they borrow it, or most often the go out of business.
Then the lucky ones get More business than they can handle by themselves and have to hire, then the profit is not there and they have to raise their rates (this very seldom happens(most go broke before hand)..

For a while you can get along with out charging the correct prices but at some point in time the law of averages will catch you..

You need to be charging minimum $2.00 per minute.

[chiloquinruss]

Yes I was yankin' yer' chain! :D I charge a minimum of $75 per hour and a 1 hour minimum. I charge the same for design, computer, bot, sanding whatever. I am a one man shop so if portal to portal the job takes 4 hours then thats $300 or 4 x $75 labor. Materials, if special are priced out seperate and added to the final bill. If anything is subed out (metal work extra) that is also added in with a suitable markup on each additional add on to the final bill. I am pretty good at estimating and so far the biggest error was only off about 12% so I ate it for the 12%. No sense arguing with a customer over my error.

The labor chart I quoted earlier was hanging in my mechanics garage and I've always enjoyed seeing it. Russ

[genek]

Russ you got to yank chains from time to time on here to wake up some of us. lol... I knew you were or wanted me to go into more detail thanks for posting

[bleeth]

Russ:

You forgot:

If you tried to do it yourself and need it fixed $200/HR

[chiloquinruss]

Boy I sure hope my mechanic doesn't see that one! :eek: Russ

[gc3]

sign in my shop says "if you have to ask how much, you can't afford it"...