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Old 08-21-2019, 07:33 PM   #31
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Re: Hiring hourly vs. quotes


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Whats wrong with starting at 9, having a 3 hour liquid lunch and leaving at 4?
They were getting paid by the hour, 3 hour lunch and all.
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Old 08-23-2019, 04:49 PM   #32
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Re: Hiring hourly vs. quotes


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They were getting paid by the hour, 3 hour lunch and all.
I think your jealous
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Of course they had already been around for over 200 million years but on a planet that could go for billions of years maybe captain Kirk would have had big teeth and a long tail.
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Old 08-23-2019, 05:50 PM   #33
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Re: Hiring hourly vs. quotes


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I think your jealous
Not really, I was still making about three times what they were making. Good installers don't work by the hour.
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Old 08-23-2019, 09:58 PM   #34
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Re: Hiring hourly vs. quotes


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As far as your second question; Ill try to explain this, so that you, the owner/employee for another business can understand.

When a contractor gives you an hourly rate, that rate will be north of $50/hr. Possibly even $100+ an hour depending on what it is, and how many people are involved.

Attorney prices right? But you have to understand the costs involved. So for Mr 1 man Contractor, 30-40% of every dollar he makes, goes straight to taxes, and workmans compensation insurance.

Next, over head can be 10-25% this includes his own costs, like liability insurance, truck insurance, gas for his truck, truck payments, tools, maintnences ect...

After that, we have retirement funds, as a self employed person your in charge of your own pension ect...

And your business MUST be profittable, otherwise why be in business...

And then after all thats 'paid' you the guy with the hammer, gets paid.

So if Contractor A charges you an hourly rate of $100/hr... his 'take home' may only be $20-$30/hr, after he pays all the crap that YOUR employer pays for you.

Add extra man power, and that rate will likely climb.
They key to saving money then is to use small companies with low overheads.

The owner doing a lot of the work rather than managing so many employees, word of mouth advertising, no office to pay rent on, no office staff.

May not be practical for really large projects though.

The tax figure - is that business tax, personal tax, both?

I know there are things company owners can do to reduce their taxes like pay themselves dividends from their own shares to avoid being taxed at the higher brackets. It's at a lower rate and split between the company and shareholder.
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Old 08-23-2019, 10:10 PM   #35
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Re: Hiring hourly vs. quotes


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They key to saving money then is to use small companies with low overheads.

The owner doing a lot of the work rather than managing so many employees, word of mouth advertising, no office to pay rent on, no office staff.

May not be practical for really large projects though.

The tax figure - is that business tax, personal tax, both?

I know there are things company owners can do to reduce their taxes like pay themselves dividends from their own shares to avoid being taxed at the higher brackets. It's at a lower rate and split between the company and shareholder.
both, as a small business, is liable for both.
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Old 08-23-2019, 10:23 PM   #36
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Re: Hiring hourly vs. quotes


well, it makes a difference when that 30 to 40% range includes personal taxes which apply to every earner who doesn't own a business.
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Old 08-24-2019, 08:29 AM   #37
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Re: Hiring hourly vs. quotes


A small business owner, self employed, also pays both halves of social security.
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Old 08-24-2019, 09:33 AM   #38
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Re: Hiring hourly vs. quotes


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A small business owner, self employed, also pays both halves of social security
ultimately what a business contributes come of out employee's pay regardless of which side covers.

Some people make it sound like business owners are getting shafted but it's not true, at least not more so than non-owners are. It sounds like an excuse to charge more.

I know there are advantages to owning a business over getting almost everything subjected to personal taxes which are bracketed. Dividends at a lower fixed rate vs being subject to brackets. The expenses (overhead) gets claimed and deducted too.
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Old 08-24-2019, 08:40 PM   #39
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Re: Hiring hourly vs. quotes


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ultimately what a business contributes come of out employee's pay regardless of which side covers.

Some people make it sound like business owners are getting shafted but it's not true, at least not more so than non-owners are. It sounds like an excuse to charge more.

I know there are advantages to owning a business over getting almost everything subjected to personal taxes which are bracketed. Dividends at a lower fixed rate vs being subject to brackets. The expenses (overhead) gets claimed and deducted too.
dividends typically apply to those with stock options... 98% of mom and pop shops dont have stock options lol

Depending on how the company is set up also affects taxes, S corp vs C corp, vs LLC, vs Sole proprietorship, all have different tax liabilities.

further complicating the issue, is what STATE your located in...

While it may be cut and dry in Canada, it can range wildly in the states, and your tax liabilities can also range wildly
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