This will be an interesting thread moving forward......

[Shimmy1]

If I were to offer my expertise full-time, including equipment management, PM, shop, and field repair for a 40 hour work week.........what pay rate do you think would be a fair offer for 35 years of experience in the business? I have a figure in my head but I want to see what you guys think. Keep in mind there is NO ONE to hire in this area that comes even close.

If it's just showing up with a lunchbox and punching a clock, I agree with T.S. that $75 per hour would be about the limit that any company would pay one man to do a job. Any more, and they would just as well have the dealership do 100% of their service work because then they would have zero overhead. No need for a shop, tools, diagnostic equipment, parts inventory, nothing.

Now, that being said, IF they wanted you as an asset, i.e. you come in with your business (truck, tools, whatever of yours that you want to bring to the table) then you need to double that $75 and add 30%. Nice round figure, $200 per hour.

 

[JD955SC]

I think the asphalt side will eventually divest itself of the dirt side and let it fold, and it will happen all of a sudden. Best not to be holding the bag.

 

[John C.]

Dealer field rates out here are $160 plus per hour and charged point to point. So wherever I'm at, when assigned the job, till I reach either the home shop, motel room or home the clock is billing. Mileage charges are $2.00 per mile minimum. Expenses such as consumables like canned fluids, zip ties paper towels, coveralls, electrical connectors and such are usually charged as miscellaneous materials and are a percentage add charge based on either the whole bill or the labor charge. Environmental charges are also a percentage added on top of labor or the whole cost of the project. Meals and lodging if out beyond an hour or two drive to home are usually charged at cost.

Only huge companies with superior accounting departments can afford any franchised dealer maintenance program for long. Even the guaranteed cost per hour programs done on new fleets of equipment are basically a shell game used to hide the way a dealer is going to keep putting in add charges.

Independent wrenches here are charging $100 per hour and have all the work they want. Most are not worrying at all about getting paid either.

 

[Truck Shop]

Now one big question--is all this high dollar an hour money talk--take home or gross. You going to
get any medical, vacation, sick time paid fuel?

When I ask for a pay increase--It's always figured at take home never on the gross.

 

[John C.]

Dealer stuff are street rates. The guys on their own, are on their own, and seem to stay that way over a long period of time. They also usually cozy up to one or two customers that take all their time.

 

[suladas]

Now one big question--is all this high dollar an hour money talk--take home or gross. You going to
get any medical, vacation, sick time paid fuel?

When I ask for a pay increase--It's always figured at take home never on the gross.

That's a valid point and part of why a sub will get more per hour because you get zero of those perks.

But that's surprising, I can't say i've ever heard of anyone negotiating pay based on take home, there's just so many factors. Here if you're married compared to single your take home pay will vary. An employer would have no idea what the pay is actually costing them when they agree to it.

 

[suladas]

Dealer stuff are street rates. The guys on their own, are on their own, and seem to stay that way over a long period of time. They also usually cozy up to one or two customers that take all their time.

One huge difference between someone on their own and a dealership truck is if the guy doing the repair doesn't know what he's doing, the guy on his own you are screwed most likely best you've got is a taillight warranty if that, compared to a dealer standing behind the work and fixing it. I think that can be why so many struggle starting out on their own, it's a lot of trust to let someone work on say a $500k piece of equipment without a large company backing up the work, or a very trusted referral. Granted it seems even getting work done at many dealers the work is absolute garbage, but at least there's a better chance they will fix it.

 

[Vetech63]

Well, I wonder what this week will bring. Nothing much has happened yet.......I am assuming they are trying to figure out what to do next. They need to figure out something fast though as this stuff doesn't repair itself and it will get worse by the day. First thing I would do is downsize the older part of the fleet. I can think of about 20 pieces of equipment that is still operating at times but needs to be going down the road. The problem with that may be that all the equipment is mortgaged.

 

[Truck Shop]

all the equipment is mortgaged

To the hilt.

 

[Jimbo]

Have you considered becoming their Master Mechanic/Equipment Manager ??
Hear me out on this; YOU run the equipment department; the supers tell you what they need, you pull from inventory for them to use. YOU hire two or three mechanics that are responsible for diagnosing and repairing the fleet, answering to you only. (I would bend Nige's ear a bunch about how all this would shake out) You would park your truck for a time, say six months, and take over this part of the company for them, as an employee(very well paid employee at that), as you would have a large responsibility on your shoulders. This idea may not work at all, but it appears the company will fail in short order if something drastic is not done with the equipment division in terms of readiness.
Big question, do you want to step up to management, keep your hands relatively clean, and prepare for a position that allows you to begin slowing down as you age, without the loss in pay coming in?
Just a thought for you and the others here to chew on.

 

[Welder Dave]

Just because a company has a lot of equipment doesn't mean they are healthy. Spending all your profits on new equipment when things are good can backfire if there's a downturn in the economy. Some company owners pay themselves and/or their family members way too much which can also seriously hurt the companies finances. There's a lot of truth in the saying... The bigger you get, the harder you fall.
Smart business owners will look at what the economy is doing and are able to change direction on how they operate and what type of jobs they do. I was just in a Domino's pizza and there was timeliness on the wall. They used to do deep dish pizza but changed based on what their customers wanted. They grew to have revenues over 2 billion dollars. It's not much different in the construction industry. You have to be able to pivot based on where the demand is.

 

[joe--h]

Jimbo, he said earlier there's no one out there to hire. Where is he going to find those 2 or 3 guys? They don't exist.
Joe H

 

[Mike L]

Dealer stuff are street rates. The guys on their own, are on their own, and seem to stay that way over a long period of time. They also usually cozy up to one or two customers that take all their time.

thats about where I’m at. My largest customer is about 65% of my total business. The other 35% is split among 3-4 log yards and a handful of once in a while, cash paying guys. My big customer keeps adding more and more stuff onto me which is great for revenue but it’s hard to keep up with it all and I am also leery of having all my eggs in one basket.

 

[suladas]

Well, I wonder what this week will bring. Nothing much has happened yet.......I am assuming they are trying to figure out what to do next. They need to figure out something fast though as this stuff doesn't repair itself and it will get worse by the day. First thing I would do is downsize the older part of the fleet. I can think of about 20 pieces of equipment that is still operating at times but needs to be going down the road. The problem with that may be that all the equipment is mortgaged.

If the blanket loans work similar to what they do here selling a few pieces is pretty easy, the bank will only want assurance that the price it's being sold for is market value, or sent to an reputable auction. Although they would likely want 100% of the proceeds so it wouldn't help if cash was needed.

 

[Vetech63]

Here's something new. My wife's older Haas VF1 that had a power distribution failure 2 weeks ago. She paid Haas to come out and determine the issue, then ordered the part (power control board). It came in last week and Haas hasn't shown up to install it nor have they scheduled. It's been like a monsoon season here few the last several weeks and was raining yesterday so I said to her "Give me that!" I had it changed out in an hour even though she was reluctant because "I'm not a Haas guy." LOL......whatever. Now I'm the Haas guy. This is not the first time I have repaired some of these CNC machines for her.....she just had it in her head that this was too technical for me.

This is the dead board. This is simple compared to some I've seen in equipment.

The replacement board is in the upper right corner with the green lights on. She is up and running when I took this pic. Wifey is happy, which means I'm happy.........until the next failure that puts her in a mood.

 

[56wrench]

Jeez, what is a Haas and what kind of kitchen appliance is that? lol

 

[Nige]

When it comes to fixing stuff round the house my usual discussion with SWMBO goes something like "you can either tell me what you want done, or how to do it, but not both."

 

[mks]

Cnc milling machine
I want to say your more than a ‘black thumb’ but that was established a long time ago.
Possible retirement gig?

 

[DMiller]

I also have SWMBO Nige
Where you and I both have explained that to them!!
As to a better mood? All I ever see since wedding day is bad or worse then back to bad, so is bad better or less worse better

 

[Welder Dave]

Here's something new. My wife's older Haas VF1 that had a power distribution failure 2 weeks ago. She paid Haas to come out and determine the issue, then ordered the part (power control board). It came in last week and Haas hasn't shown up to install it nor have they scheduled. It's been like a monsoon season here few the last several weeks and was raining yesterday so I said to her "Give me that!" I had it changed out in an hour even though she was reluctant because "I'm not a Haas guy." LOL......whatever. Now I'm the Haas guy. This is not the first time I have repaired some of these CNC machines for her.....she just had it in her head that this was too technical for me.
View attachment 260071
This is the dead board. This is simple compared to some I've seen in equipment.
View attachment 260072
The replacement board is in the upper right corner with the green lights on. She is up and running when I took this pic. Wifey is happy, which means I'm happy.........until the next failure that puts her in a mood.

This begs the question, what does your wife do with CNC machine tools? Is she more macho than you? LoL