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In case you were hibernating the last year and half, you had to notice all the increases around you. From food, gas, utilities, taxes, insurance, etc., etc., etc. Not to mention all the training and tool investment we must make from now on, to remain in the business.

I have been preaching this for decades: As an industry we don't charge enough, especially when it comes to labor. 

While there are ways to increase labor dollars, for example: becoming more productive, making sure that we charge for complex testing and driveability; Base labor rates have to factor in as the most important KPI in your business.

Do the math, get help from a coach if you need help calculating your labor rate.

A real Down and Dirty calculation:  If you have one tech and you pay this tech $35 per hour ($42 loaded), then this tech has to bill $140 of labor for every hour worked.  ASSUMING THIS TECH IS 100% PRODUCTTIVE. 

DISCLAIMNER:  THIS IS A REAL DOWN AND DIRTY QUICK CALCULATION, SEEK ADVICE IF YOU WANT A MORE ACCURATE REQUIRED LABOR RATE. 

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