How much do you pay your techs?

brandonkick

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For those of you that run your own business (or those of you that work as a tech and want to share)?

How much do you pay them / how much do you get paid (if not a business owner)?


I am curious to see what a good tech earns. If your willing to offer up information please note the general area you are from. Cost of living makes a difference.

Seems like these days, in my area anyhow, business owners want top notch service / performance out of an employee but they don't want to pay anything. I don't understand how a local shop would think it ok to pay a tech $10-$15 an hour when they easily earn you five times that amount or more.
 
For those of you that run your own business (or those of you that work as a tech and want to share)?

How much do you pay them / how much do you get paid (if not a business owner)?


I am curious to see what a good tech earns. If your willing to offer up information please note the general area you are from. Cost of living makes a difference.

Seems like these days, in my area anyhow, business owners want top notch service / performance out of an employee but they don't want to pay anything. I don't understand how a local shop would think it ok to pay a tech $10-$15 an hour when they easily earn you five times that amount or more.

Because the people making 10-15$ an hour either don't have alot of field experience to make alot more, don't want to run their own business or are happy not taking a huge amount of responsability working for Giant Corp INC.

My employees are happy with their wage because it reflects the skills and responsability required of them to preform their job duties.

If and when they decide to move on, I will hold another job fair at the colleges in town. Done deal.
 
We pul most of our techs from high school and local college; base of $10.25 through probation, auto bump to $11.25 after that; most senior person is at $13.25 now.

But we also throw in a few side benefits; paid holidays, fitness allowance, education allowance (will pay for any/all computer certifications and training leading up to), flex schedule, on-call pay, mileage reimbursement.
 
$10.25 is, I believe, minimum wage here. Getting that for a job that should require a minimum skill-set would be laughable.

If I were hiring, I wouldn't consider paying less than $13/hr to start.
 
When I had office space and a few full time guys they were earning $35k to $45k.
But that was then, this is now.

I've moved HQ into my home and have 2 guys I contract jobs out to when I am overwhelmed. I pay them 75% of the total cost of the job. So a 2 hour onsite will net them about $190 plus trip charge.
 
so you think a bench tech earns the company $50+/hr?
Sorry to bear bad news but if I can "Bill" 50% of my techs time it would be a shocker..... bench techs do "good" if I can bill over 30% of their time on average across slow and busy times.

No matter how "good" you are I can usually find someone just as good who is looking for something cheap.... Most PC shop work is pretty low level in comparison -- now if I am hiring someone who will go out and get new business, full project management, technical installations, and team management plus able to do anything technical -- now you're talking, but it's hard to find people like that, and harder yet to find ones who actually do a good job.

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so you think a bench tech earns the company $50+/hr?
Sorry to bear bad news but if I can "Bill" 50% of my techs time it would be a shocker..... bench techs do "good" if I can bill over 30% of their time on average across slow and busy times.

No matter how "good" you are I can usually find someone just as good who is looking for something cheap.... Most PC shop work is pretty low level in comparison -- now if I am hiring someone who will go out and get new business, full project management, technical installations, and team management plus able to do anything technical -- now you're talking, but it's hard to find people like that, and harder yet to find ones who actually do a good job. ... snipped....

+1


More +1 filler.
 
Wages really depend on the area. I'm in Oklahoma, costs less to live here, so I make less here (yay!)

I started at $10 an hour in 2011. Made it up to $13 in less then a year, been there since.

If I lived somewhere more expensive, I would be making more.
 
With these rates, its hard for a seasoned Tech to leave the Corp world. Making over 67K plus Full benefits, 401K, retirement, Stock options Ect. This is here in AZ (what I made last year, before I include my company profits), but I also know places making much more in Cali, and about same rate in Texas where is cheaper to live then AZ.

Don't get me wrong, I am all for being a business owner, but it's a combo between the environment that one work in, the pay and the benefits. Most are welling to take a pay cut to work in a great environment, one where they get along with each other, easy going and what not.

In my eyes, here in AZ you can work @ McDonald's for $9.25-$11.00 an hour. Most of us don't want the type of employee. But if that's what your paying, as they say.... you get what you pay.

Granted, I don't have any employees as I out source if needed, but I also understand there is more to it then just the 10.00 per hour. (Taxes, UI, fees here, fees there...) So, that employee your paying 10.00 is really costing you 13-14 an hour (assuming your legal about it)
 
Wages really depend on the area. I'm in Oklahoma, costs less to live here, so I make less here (yay!)

I started at $10 an hour in 2011. Made it up to $13 in less then a year, been there since.

If I lived somewhere more expensive, I would be making more.

I'm just curious...can you actually live on that there?
 
I'm just curious...can you actually live on that there?

Look for yourself:
http://stillwater.craigslist.org/apa/
http://wichita.craigslist.org/apa/

In OK apartment 2 br from $275; Wichita a 2br apartment from $350, br house is from $495 per month avg utilities about $100-150 for high months like winter and summer. Auto insurance is about $50 a month full coverage about $30 minimum liability. Groceries for 3-4 family about $100 a week less if you clip coupons to shop in three stores for sales. I pay $15 for oil changes at Jiffy lube, mechanic charges $35 hr; you can hire an attorney for $150 hr and that is high. So yes we can live around here on $26k per year easily. I start my employees out at $17k plus bonus.

Single guy can definitely live good on $12-13, even married with a kid you can get buy and still live a decent life and if you are married and wify works part time all the better. $20k goes far around here $26k even better. $40k and you are putting money in savings or own a boat n RV for hunting.

If you were making $15-18 per hour you wouldn't need to have the wife get out and work.

And most around here give 10% of our earnings to our Church.
 
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so you think a bench tech earns the company $50+/hr?
Sorry to bear bad news but if I can "Bill" 50% of my techs time it would be a shocker..... bench techs do "good" if I can bill over 30% of their time on average across slow and busy times.

No matter how "good" you are I can usually find someone just as good who is looking for something cheap..

I can run 3000 per 40 hours easy, just labor and profit on builds... 2500 labor

For your second statement I dont think you've seen a good tech, or WI is overrun with computer geniuses who are great at multitasking, and are willing to work for peanuts.

Maybe if you paid more than mcdonalds you would see 50% billable time.
 
I agree that it really isn't fair to compare the employee's hourly wage to their hourly billing, as it is near impossible for the employee to bill 100% of their time. If said employee would prefer to only get paid when they are doing billable work, then it might make more sense that they may get a larger portion of the money billed out.

Things that must be taken into consideration when paying employees:
1. Administration costs
2. There are facility costs (rent, heat, electricity, internet, etc)
3. Employees tend to get paid on holidays
4. Advertising costs
5. Insurance and legal fees
6. Inventory overhead
7. Equipment
8. Employee training
9. And, of course, profit for the company owners

There is a huge difference between running a one man show and having a company with employees. It is said that each revenue generating employee should bring between 3 and 5 times their salary in revenues.

Although, we are not at a point where we can implement this, I think it makes more sense to pay employees a modest salary/hourly rate and then come up with some sort of profit sharing or bonus structure. This way, when the times are good, the employees get a few extra bucks for it. However, when the times are bad, you have a little room to breathe.
 
I can run 3000 per 40 hours easy, just labor and profit on builds... 2500 labor
Do you do this consistently every week? That is, do you generate a minimum of $130,000 in labor revenues a year? If so, that means that you should get no more than $43,000 in salary or about $21/hour, based on 1/3 of the revenues you generate.
 
$10.25 is, I believe, minimum wage here. Getting that for a job that should require a minimum skill-set would be laughable.

If I were hiring, I wouldn't consider paying less than $13/hr to start.

Xander,

You should see some of the repair job postings in Barrie if you think that 10.25 an hour doesn't happen alot in Ontario :(

That said, in the US minimum wage isn't always that high. 10$ an hour might be a lot in some parts of the country. California, for example, is 8$/hour IIRC
 
Generally service businesses try to keep their labor expense about 20% of gross service revenues. This means if you are paying a guy $600 per week he should generate about $3000 in revenues.

You can go a bit higher possibly 25%. But there has to be enough left over to pay for the advertising, shop, vehicles, warranty, call backs and what have you.

If you are giving employees more than 30% of gross revenues then it is hard to see how you have enough left to pay bills.

I would encourage you to talk to your accountant about it.
 
Xander,

You should see some of the repair job postings in Barrie if you think that 10.25 an hour doesn't happen alot in Ontario :(

That said, in the US minimum wage isn't always that high. 10$ an hour might be a lot in some parts of the country. California, for example, is 8$/hour IIRC
Yeah, I know there are crap jobs out there. Probably around here, too, I've never really looked. I'm saying that talking about what we would/do pay techs is about as useful as talking about what we charge for a virus removal. It's going to vary considerably based on where we are and local economies.
 
I really think you need some business classes.....

Even if I had the best tech/sales guy out there it costs tens of thousands of dollars in overhead to keep a location open..... and in smaller towns (well mid size town ~60K) with a BestBuy, Staples, and 4 other small shops... we are the biggest but as of a 3 month survey last year their are only about 15 - 18 computers a day brought in for repair in the whole town.... if we could get 1/3(not possible to get all), then that is about $500/day GROSS or $2,500 week... not enough to pay a full time tech at all.


I need a lot of systems on the bench every week to pay for that tech on top of the $10,000+ month it costs to keep the doors open.

Wait, 10k a month overhead before you pay your techs and your goal is to gross 500 a day??

What business school did you go to so I can pay more overhead and gross less?
 
I'm just curious...can you actually live on that there?

Well I'll give you a real rundown of my expenses lol

My apartment is $385 includes water and gas (1 bedroom!)
Electric averages $130 depending on season of course
Car Payment is $270
Car Insurance for me is $190 a month (only 22, have to have a little higher then minimum since I am financing my car)
Cell Phone is $170 but it is split, so $100 my part
Internet: $60 (must have!)

After taxes, making $780 a paycheck, $1560 a month

Minus bills, leaves me $425 a month, then you need to tack on groceries, and gas, and crap that happens.

Say $200 for food, fill the tank a couple times, so there is about $80, now I am down to $145, but then sometimes you have to pay a bill late, or you get an overdraft, if my rent is late it is a $50 late fee, so that's big.

Don't forget other things in life like hygiene supplies, kitchen supplies, trash bags, washing the car, etc.

After all this, if I am lucky I have a few dollars to treat myself. But usually I don't because it has been messed up for the past few months and I end up coming up.

So if I owned my own car, was a few years older, I would have much more money available, but right now it's tight.

Sure I could downgrade the cell phone to a prepaid one, but I wouldn't save much with what I would lose (unlimited data and at least 3g everywhere!)

Could get rid of the cable internet, but then that's going to stop me from remoting into systems at home, researching stuff, learning things, and of course entertainment.

So there isn't much I can cut out of my bills. Oh and forgot I have a $65 a month loan payment for a small loan I got a couple months ago when I didn't have enough to make it.

Even if I could get a cheaper place to live, I don't have the money for a deposit, want to switch car insurance I can lower it about $40 a month, but that's not much.

Sounds like a rant. Sorry lol
 
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