$105 / hr

Free calculator

What labour rate should your shop charge?

Enter your wages, overhead and the hours your techs actually bill. See your break-even rate and the rate that gets you the profit you want.

Want to know if you made money this month? Moibay shows your labour, parts and profit in plain numbers.Try Moibay free

Your shop

Charge at least$105.54per hour to reach a 20% profit on labour
Break-even rate$84.44 / hr
Monthly costs$21,953
Tech wages with extras$13,953
Billed hours per month260
Labour sales needed per month$27,442
Tech efficiency75%

Break-even covers wages and overhead with no profit. Your parts markup adds profit on top, so this is a safe floor for your labour rate.

Know if you made money this month

Moibay tracks every tech’s hours on each job and shows your labour, parts and profit in plain numbers, so you can see if your rate is working.

Questions shops ask

How is the labour rate worked out?

Monthly tech wages (including payroll extras) plus monthly overhead, divided by the hours your techs bill in a month, gives your break-even rate. That is then marked up so the profit you want is left over.

Why use billed hours instead of paid hours?

You pay techs for every hour they are at work, but you only earn on the hours you charge customers. Waiting for parts, comebacks and shop cleanup are paid but not billed, so billed hours are always lower.

Does this include my parts markup?

No. The rate covers your costs from labour alone, so it is a safe floor. Profit from parts comes on top.

What is a good tech efficiency?

Efficiency is billed hours divided by paid hours. The higher the better: every paid hour that is not billed has to be covered by a higher rate.

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