Dear Tim,
I would like to start some painting jobs on the side , part time if you will. It would be all interior painting . How do I go about estimating or charging someone for the job without hurting myself, and at the same time being fair to the customer? Thank you for your support.
Robert J
Robert,
This is not as hard as you might think. First you have to get a grasp of tax laws. You will be responsible for paying more taxes than you see typically withheld from an ordinary paycheck. You also need to think about wear and tear on your equipment.
Then you need to think about how much time you invest in bidding a job and then doing any and all paperwork associated with the job. Don't forget the cost of Workman's Compensation insurance and a General Liability policy in case you damage a customer's house. Finally, it is perfectly good business practice for you to make a reasonable profit on the jobs. This money can be re-invested in your business to make it grow.
The bottom line is that after discovering what all of the above costs are and dividing them into the time each week you spend painting, you may have to charge $40 - 50 per hour for the actual time you estimate you will be at the job working. Your actual take-home pay after taxes, expenses and the miscellaneous hours you spend not painting but working within the business may only be $18 - 20 per hour!
Tim Carter
W3ATB