Quantcast
Jump to content

Recommended Posts

Posted

Do you charge for your time researching and finding obsolete part for the job? 

The reason I ask is we come across this issue working on older vehicles. That needs an OEM that is made anymore. It takes time sometimes hours to find that particular part. Should the shop absorb this cost for research or pass it on to the customer? 

Posted

We didn't have too much of a problem with parts because we were a transmission repair shop.  The few times I did run into an inordinate amount of time for locating a part, I didn't charge extra per se.  What I did was to increase the markup in most hard-to-find parts.  Nobody ever complained.

There were several items I "buried" in either parts, labor, or both because listing them separately would raise eyebrows.  Items like...

  • Shop supplies
  • Waste oil disposal
  • Towing (because we advertised free towing)
  • Chemicals
  • Gas in customer's cars
  • Credit/Debit card fees
  • and other incidentals...

were never listed separately, but the customer did pay.  I never had a problem doing it that way.

 

Posted
16 hours ago, TTP said:

Do you charge for your time researching and finding obsolete part for the job? 

The reason I ask is we come across this issue working on older vehicles. That needs an OEM that is made anymore. It takes time sometimes hours to find that particular part. Should the shop absorb this cost for research or pass it on to the customer? 

Yes, but it depends.   If you set the expectation that it will be a T&M's job, then you just add in the time.    Otherwise, you have to ask for more time, add it into the part estimate or eat it.   I struggle with getting paid for all of my time and we're doing our best to not let this happen.   As someone said last week, in another forum, don't let their problems become your problems.   Offer to solve their problems for this many $'s or move on.  

A lot of shops refuse to work on anything older than 20 years for this reason alone.   Heck, we're working on a < 20 yr old, 07 4Runner, and were having a hard tracking down a suspension bolt.   I had to make a 20 mile drive for another purpose and decided to do that today to pick up a bolt at a dealer along the route.  I get there an it was not in stock.   Now, it showed in stock there by my normal Toyota dealer, so we went for it.  Shame on me for not calling ahead.  Finally found one at a Lexus dealer.    I didn't charge for this trip, but we doubled his bill due after finding multiple cross threaded bolts such as this one.   Even still, we should have billed more.     

But, we have a beautiful '70 Chevelle SS that we're working on and for this one, we're charging Time and Materials, but also at $30/hr more.   We have a higher labor rate for Classic cars.   I also have a 68 Chevelle here too.  Sigh.  Love them and hate them.  If we work on these, we "try" to limit them to 1 at a time.    For these types of cars, you have to charge more because they nibble minutes daily until their gone. 

  • Thanks 1

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now
  • Available Subscriptions

  • Have you checked out Joe's Latest Blog?

         0 comments
      It always amazes me when I hear about a technician who quits one repair shop to go work at another shop for less money. I know you have heard of this too, and you’ve probably asked yourself, “Can this be true? And Why?” The answer rests within the culture of the company. More specifically, the boss, manager, or a toxic work environment literally pushed the technician out the door.
      While money and benefits tend to attract people to a company, it won’t keep them there. When a technician begins to look over the fence for greener grass, that is usually a sign that something is wrong within the workplace. It also means that his or her heart is probably already gone. If the issue is not resolved, no amount of money will keep that technician for the long term. The heart is always the first to leave. The last thing that leaves is the technician’s toolbox.
      Shop owners: Focus more on employee retention than acquisition. This is not to say that you should not be constantly recruiting. You should. What it does means is that once you hire someone, your job isn’t over, that’s when it begins. Get to know your technicians. Build strong relationships. Have frequent one-on-ones. Engage in meaningful conversation. Find what truly motivates your technicians. You may be surprised that while money is a motivator, it’s usually not the prime motivator.
      One last thing; the cost of technician turnover can be financially devastating. It also affects shop morale. Do all you can to create a workplace where technicians feel they are respected, recognized, and know that their work contributes to the overall success of the company. This will lead to improved morale and team spirit. Remember, when you see a technician’s toolbox rolling out of the bay on its way to another shop, the heart was most likely gone long before that.
  • Similar Topics

    • By carmcapriotto
      Thanks to our Partners, NAPA TRACS, and Today's Class The "Great Correction" refers to a shift in the industry after a period of relative ease, likely due to pandemic related factors. The key concerns include a decrease in online searches for auto repair, rising costs, increased competition from dealerships, labor shortages, rapid advancements in technology (EVs, ADAS, AI), and the need to explore new revenue opportunities like key services, ADAS calibration, tires, and truck repairs. These issues suggest that the strategies that worked in the past may no longer be effective. Ryan Daily, Business Coach, The Institute Wayne Marshall, Business Coach, The Institute Fred Hule II, Business Coach, The Institute Show Notes Watch Full Video Episode Introduction of Guests (00:00:00) Market Challenges (00:02:14) Customer Education Importance (00:04:01) Effective Communication (00:05:16) Listening to Customers (00:06:49) Value of Language in Services (00:08:34) Customer Trust and Attrition (00:09:21) New Car Sales Impact (00:10:20) Facility Appeal (00:12:26) Investing in Facilities (00:14:09) Profitability Challenges (00:15:17) Mindset Shift in Shop Owners (00:16:16) Value Proposition Discussion (00:17:21) Continuous Improvement in Service (00:18:03) Understanding Profit Targets (00:18:49) Shop Management Systems (00:19:51) Training Service Advisors (00:21:06). Proper Vehicle Inspections (00:22:01) Communication with Customers (00:28:15) Follow  Up Strategies (00:29:45) Educating Customers on Maintenance (00:32:15) Company Culture and Staff Engagement (00:34:02) Understanding Expectations (00:35:59) Customer Engagement (00:36:55) Cultural Impact (00:37:36) Continuous Education (00:39:30) Investment in Staff (00:40:36) Onboarding Process (00:42:33) Industry Transformation (00:44:38) Adapting to Change (00:46:31)
      Thanks to our Partner, NAPA TRACS NAPA TRACS will move your shop into the SMS fast lane with onsite training and six days a week of support and local representation. Find NAPA TRACS on the Web at http://napatracs.com/ Thanks to our Partner, Today's Class Optimize training with Today's Class: In just 5 minutes daily, boost knowledge retention and improve team performance. Find Today's Class on the web at https://www.todaysclass.com/ Connect with the Podcast: -The Aftermarket Radio Network: https://aftermarketradionetwork.com -Follow on Facebook: https://www.facebook.com/RemarkableResultsRadioPodcast/ -Join Our Private Facebook Community: https://www.facebook.com/groups/1734687266778976 -Join Our Virtual Toastmasters Club: https://remarkableresults.biz/toastmasters -Subscribe on YouTube: https://www.youtube.com/carmcapriotto -Follow on LinkedIn: https://www.linkedin.com/in/carmcapriotto/ -Follow on Instagram: https://www.instagram.com/remarkableresultsradiopodcast/ -Follow on X: https://twitter.com/RResultsBiz -Visit the Website: https://remarkableresults.biz/ -Join our Insider List: https://remarkableresults.biz/insider -All books mentioned on our podcasts: https://remarkableresults.biz/books -Our Classroom page for personal or team learning: https://remarkableresults.biz/classroom -Buy Me a Coffee: https://www.buymeacoffee.com/carm -Special episode collections: https://remarkableresults.biz/collections The Aftermarket Radio Network: https://aftermarketradionetwork.com/ Remarkable Results Radio Podcast with Carm Capriotto: Advancing the Aftermarket by Facilitating Wisdom Through Story Telling and Open Discussion. https://remarkableresults.biz/ Diagnosing the Aftermarket A to Z with Matt Fanslow: From Diagnostics to Metallica and Mental Health, Matt Fanslow is Lifting the Hood on Life. https://mattfanslow.captivate.fm/ Business by the Numbers with Hunt Demarest: Understand the Numbers of Your Business with CPA Hunt Demarest. https://huntdemarest.captivate.fm/ The Auto Repair Marketing Podcast with Kim and Brian Walker: Marketing Experts Brian & Kim Walker Work with Shop Owners to Take it to the Next Level. https://autorepairmarketing.captivate.fm/ The Weekly Blitz with Chris Cotton: Weekly Inspiration with Business Coach Chris Cotton from AutoFix - Auto Shop Coaching. https://chriscotton.captivate.fm/ Speak Up! Effective Communication with Craig O'Neill: Develop Interpersonal and Professional Communication Skills when Speaking to Audiences of Any Size. https://craigoneill.captivate.fm/
      Click to go to the Podcast on Remarkable Results Radio
    • By marxautocenter
      Hello everyone,
       
       Currently we use RO Writer and Auto Vitals to manage our shop workflow. It works out very well overall, but I'm looking for a way to keep track of daily/weekly shop numbers in a clean and easy to read format. We found it difficult to get clear numbers in RO writer, and use the punch in/out feature in Auto Vitals for time keeping (which limits our reporting features in RO writer). I'm looking for other shop owners who use this combination to tell me they way they keep track of their daily/weekly numbers, such as technician hours worked/billed, comebacks, declined work, sold recommended (and develop a ratio from declined work/sold recommended).
       
      I'm working on a Google sheet now, but I'm looking for opinions on what you find easiest to read, while limiting entering too much information multiple times.
       
      Thank you for your comments in advance!
       
      Cheers!
    • By carmcapriotto
      Thanks to our Partners, NAPA Auto Care, NAPA TRACS and Automotive Management Network "I had mistook tasks for servant leadership. Servant leadership is critical. If I'm not there to serve the people that work for me, to empower them to do the best possible job that they can do, then I'm holding them back." Connor Tracy, Director of Partner Development at KUKUI, discusses leadership challenges in auto repair shops, the importance of delegation and empowerment, adapting to industry changes, and the role of technology and data in modern shop management. Discover practical tips to transition from being a micromanager to a leader who can drive business growth effectively. Connor Tracy, Director of Partner Development at KUKUI Show Notes Watch Full Video Episode Introduction and Episode Overview (00:00:00) Connor Tracy's Background (00:01:42). The Homecoming Story (00:02:01) The Importance of Delegation (00:04:41) Micromanagement Pitfalls (00:06:08) Learning from Mistakes (00:09:09) Shifting from 'Me' to 'Us' (00:09:40) Empowering Team Decisions (00:10:36) Challenges of Leadership Training (00:12:22) Personality vs. Leadership Skills (00:13:06) Customer Review Management (00:17:12) The Need for Coaching (00:18:58) Peer Mentorship and Outside Perspectives (00:19:51) Sales Territory Engagement (00:20:42) Industry Resets and Agility (00:21:13) Proactive Leadership (00:22:27) Data-Driven Decision Making (00:26:18) Trends and Business Performance (00:27:27) AI Integration in Business (00:28:43)
      Thanks to our Partners, NAPA Auto Care, NAPA TRACS and Automotive Management Network Learn more about NAPA Auto Care and the benefits of being part of the NAPA family by visiting https://www.napaonline.com/en/auto-care NAPA TRACS will move your shop into the SMS fast lane with onsite training and six days a week of support and local representation. Find NAPA TRACS on the Web at http://napatracs.com/ Get ready to grow your business with the Automotive Management Network: Find on the Web at http://AftermarketManagementNetwork.com for information that can help you move your business ahead and for the free and informative http://LaborRateTracker.com Connect with the Podcast: -Follow on Facebook: https://www.facebook.com/RemarkableResultsRadioPodcast/ -Join Our Virtual Toastmasters Club: https://remarkableresults.biz/toastmasters -Join Our Private Facebook Community: https://www.facebook.com/groups/1734687266778976 -Subscribe on YouTube: https://www.youtube.com/carmcapriotto -Follow on LinkedIn: https://www.linkedin.com/in/carmcapriotto/ -Follow on Instagram: https://www.instagram.com/remarkableresultsradiopodcast/ -Follow on Twitter: https://twitter.com/RResultsBiz -Visit the Website: https://remarkableresults.biz/ -Join our Insider List: https://remarkableresults.biz/insider -All books mentioned on our podcasts: https://remarkableresults.biz/books -Our Classroom page for personal or team learning: https://remarkableresults.biz/classroom -Buy Me a Coffee: https://www.buymeacoffee.com/carm -Special episode collections: https://remarkableresults.biz/collections The Aftermarket Radio Network: https://aftermarketradionetwork.com/ Remarkable Results Radio Podcast with Carm Capriotto: Advancing the Aftermarket by Facilitating Wisdom Through Story Telling and Open Discussion. https://remarkableresults.biz/ Diagnosing the Aftermarket A to Z with Matt Fanslow: From Diagnostics to Metallica and Mental Health, Matt Fanslow is Lifting the Hood on Life. https://mattfanslow.captivate.fm/ Business by the Numbers with Hunt Demarest: Understand the Numbers of Your Business with CPA Hunt Demarest. https://huntdemarest.captivate.fm/ The Auto Repair Marketing Podcast with Kim and Brian Walker: Marketing Experts Brian & Kim Walker Work with Shop Owners to Take it to the Next Level. https://autorepairmarketing.captivate.fm/ The Weekly Blitz with Chris Cotton: Weekly Inspiration with Business Coach Chris Cotton from AutoFix - Auto Shop Coaching. https://chriscotton.captivate.fm/ Speak Up! Effective Communication with Craig O'Neill: Develop Interpersonal and Professional Communication Skills when Speaking to Audiences of Any Size. https://craigoneill.captivate.fm/         Click to go to the Podcast on Remarkable Results Radio
    • By DUFRESNES
      We need better resources for diagnosing European cars' DTC's. I'm talking about 8-12 year old models, in the prime years of major repair, that our primary tool, AllData has no information on. They may have many other codes listed for these vehicles, but not what we seem to need.  Example: 2014 MB GL450 with codes u0121-87, u0147-87, c2321, c030a, p179a-12 and several others, with symptoms of not being able to drive car, a warning of "transmission not in park, vehicle may roll" illuminating. This is for illustration purposes, but if you happen to have experience with this in particular..... We hate sending our customers to the dealership, or specialty shops. Is there better scanners.  We use for the most part AUTEL and Snap on Verus
    • By nptrb
      Welcome to 2025! As a new year begins, it’s time to start thinking about taxes. 
      For auto repair shop owners, understanding potential tax deductions is crucial for maximizing profitability. 
      This blog post will explore some common tax write-offs available to your business. It will help you keep more of your hard-earned money so you can achieve success!
       
      Understanding Deductible Expenses
      The IRS allows businesses to deduct “ordinary and necessary” expenses. 
      This includes costs that are common and helpful in the day-to-day operations of your auto repair shop.
       
      Cost of Goods Sold (COGS)
      This includes the direct costs associated with the parts you sell and install. 
      COGS covers everything from small items like spark plugs and brake pads to larger components such as engine parts and tires. 
      Accurate and detailed records of all purchases, including invoices and receipts, are essential when reporting these deductions.
      It’s critical to properly value your inventory at the beginning and end of the year because this directly affects your COGS and, consequently, your taxable income.
       
      Labor Costs
      Labor costs are another substantial deduction that you will want to claim.
      Labor costs encompass:
      Employee wages Employee salaries Employee benefits When examining your labor costs, be sure to report the gross wages paid to everyone, from mechanics and service writers to administrative staff. These are the people who keep your shop running like a well-oiled machine. 
      The employer-paid portions of Social Security, Medicare, and unemployment taxes are also deductible, along with various employee benefits like health insurance and retirement plan contributions.
       
      Operational Expenses 
      Operational expenses cover the day-to-day costs of running your business. 
      This category includes:
      Rent for your shop space (if you lease) Utilities such as electricity, water, and gas The maintenance and repair fees of your shop equipment and facilities Insurance for business liability, property, and company vehicles Expenses related to promoting your business, such as online advertising, print ads, and local sponsorships, fall under deductible advertising and marketing costs, which are also operational expenses.
      You can even deduct the fees paid to professionals and service providers such as accountants, lawyers, and other consultants for business-related services.
       
      Depreciation 
      Depreciation is often an overlooked deductible, but it is important in maximizing your profit, nonetheless, because it allows you to deduct the cost of long-term assets over their useful life. 
      Depreciation deductions apply to equipment such as lifts, diagnostic tools, and other essential items used in your shop. 
      If you have company vehicles that are used solely for business purposes, such as a tow truck, you can also deduct their depreciation.
       
      Other Deductions 
      COGS, labor costs, operational expenses, and depreciation are the core categories, but that doesn’t mean other dedications don’t apply. 
      Here are a few more auto shop costs to consider claiming:
      Employee training  Continuing education Business travel for industry conferences or training Unpaid invoices from customers (you may be able to deduct the unpaid amount as a bad debt!)
      And always remember. . . 
      Meticulous record-keeping is absolutely essential for substantiating your deductions. 
      Keep all invoices, receipts, and other relevant documentation organized. An online accounting system such as Quickbooks Online can help! 
      Tax laws can be complex, so consulting with a professional is highly recommended. They can provide personalized advice and ensure you’re taking advantage of all applicable deductions. 
      Remember: tax laws can change, so stay informed about any updates that may affect your business so you can stay on the right track to growth! 
      Proper planning and education will help you significantly reduce your tax liability and improve your bottom line year after year! 


  • Our Sponsors

×
×
  • Create New...