A labor rate is the dollar amount charged per hour for a technician on a job. There are two rates: cost rate (what it costs to employ someone) and billing rate (what the client is charged).
In practice
CRM Services calculates a technician costs $38/hour but bills at $85/hour — the difference covers overhead and profit.
Why it matters
Correct labor rates are the foundation of profitable pricing.
Common questions
What's the difference between cost rate and billing rate?+
Cost rate includes wages, taxes, and benefits. Billing rate adds overhead and profit on top.
What's a typical rate in Vancouver WA?+
General contractors typically bill $75-$125/hour depending on trade and complexity.
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