what is your formula? - Cleaning Talk - Professional Cleaning and Restoration Forum
 
Thread Tools Display Modes
post #1 of Old 03-07-2014, 01:17 PM Thread Starter
Junior Member
 
Join Date: Feb 2014
Location: Jacksonville
Posts: 4
what is your formula?

Hello, am here again in the search for advise. I am really getting desperate on this charging issue. I get the concept, from hourly rate as well as adding direct and indirect expenses, payroll, etc. What I am really having a hard time is figuring out how to add all this so I can come up with a reasonable bid.
Ok, here is what I don't get: If I put the hourly rate at $10.00 an hour how would I add to this hourly rate taxes that i need to pay, direct-indirect cost, profit margin, and sales tax (this is the easiest).
I live in Florida, I know self employed taxes are 15.3%, for SS + Medicare.
how would i ADD the Federal Income Tax Rates that the IRS has and that I have to pay with self employed taxes? Please if you have a formula that you use and can share please give me an advise.
Also what about if it is a one time cleaning, how would you price this? would that be charging it on how much will it take me to clean it? How can I figure the rate for the time it take me to clean it?

I bought this janitorial bidding software online which is not bad but there is a part that ask me to add the percentage to the holy rate that i input. example: I place $10 and hour, what about is my expenses are 227 a month, what percentage is that added to $10? very confuse..

Thank you for reading and listening, have a great day to all.
vargaslei is offline  
Sponsored Links
Advertisement
 
post #2 of Old 03-07-2014, 08:06 PM
Senior Member
 
Join Date: Nov 2007
Location: New Jersey
Posts: 224
To keep it fairly simple, add 30% onto whatever you are paying an employee to clean and then figure out what to charge the customer after that. If you want to pay an employee $10.00 per hour then figure on $13.00 per hour which will include your portion of social security, state, disability, medicare taxes, etc. That should also cover your insurance costs. My goal is to make about 33% profit so I would charge my customer around $19.00 - $20.00 per hour for routine commercial janitorial services. One time only cleanings or once per week cleanings I could charge as much as $75.00 per hour. As far as your personal taxes, get an accountant as your business costs could offset what you may owe in personal taxes.
Peter Weiss
Total Maintenance Services
www.totalservices.org
jahra352 is offline  
post #3 of Old 04-23-2014, 02:24 PM
Junior Member
 
Join Date: Apr 2014
Posts: 15
I agree with Jahra352. Making at least 30% is key...
NunJoBizness is offline  
Sponsored Links
Advertisement
 
post #4 of Old 07-23-2014, 12:40 PM
Junior Member
 
Join Date: Jul 2014
Posts: 21
30% or 40% seems to work best.
mark1st is offline  
Reply

Quick Reply
Message:
Options

Register Now



In order to be able to post messages on the Cleaning Talk - Professional Cleaning and Restoration Forum forums, you must first register.
Please enter your desired user name, your email address and other required details in the form below.

User Name:
Password
Please enter a password for your user account. Note that passwords are case-sensitive.

Password:


Confirm Password:
Email Address
Please enter a valid email address for yourself.

Email Address:
OR

Log-in










Thread Tools
Show Printable Version Show Printable Version
Email this Page Email this Page
Display Modes
Linear Mode Linear Mode



Posting Rules  
You may post new threads
You may post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off

 
For the best viewing experience please update your browser to Google Chrome