How to Set Labor Cost for an Employee.

In order to determine the cost of the labor your technicians provide on the job, there is a field in the Employee Setup for each employee that allows you to identify their hourly rate:
  • Click Settings
  • Click General
  • Click Employees
  • Select the technician that you want to set the hourly rate for 

When entering this rate for each employee you can choose to identify the regular rate the employee earns per hour, or if you know the technician’s “burdened rate” you can use that instead.

Burdened rate is the cost per hour of the technician after you included additional costs you pay beyond their pay for things such as Federal and State payroll taxes, Social Security, workers comp, benefits and other employee related expenses.

You can work with your accountant to identify this number.  Adding it to the employees paid rate gives you a more accurate picture of your profitability.


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