1. Welcome to PlowSite. Notice a fresh look and new features? It’s now easier to share photos and videos, find popular topics fast, and enjoy expanded user profiles. If you have any questions, click HELP at the top or bottom of any page, or send an email to help@plowsite.com. We welcome your feedback.

    Dismiss Notice

Billing Incremently....

Discussion in 'Bidding & Estimating' started by Snowman7, Oct 16, 2009.

  1. Snowman7

    Snowman7 Member
    from WI
    Messages: 69

    If one would state that it costs $125 for 1.5-3.99 inches $200 for 4-5.99 inches $275 for 6-8 and so on. How does everyone interpret it for billing?? I have been running into some real creative property managers. How is everyone billing. Under the example above it if snows a total of 5 inches and the trigger is at 1.5" you would have to push it twice. How do you bill for that??
     
  2. WIPensFan

    WIPensFan PlowSite Veteran
    Messages: 3,486

    I bill it at whatever the snow amount was when I went out. Let's say it was 3" the first push and 2" the second push. I bill for $125.00 x 2. If it was 1.5" and then 4" it would be $125.00 and $200.00. Hope that makes sense.

    Maybe your going out every 1.5"? Not sure I understand why your pushing twice on 5".
     
  3. Snowman7

    Snowman7 Member
    from WI
    Messages: 69

    Thanks for your feedback. The two pushes for the amount was just a example. I have a property manager telling me that the increment pricing means storm total. For example it snows 7.5 inches and they want you to keep it clear throughout the day and you do a total of three pushes he wants me to bill him once for the 6-8 inch increment price. Does anyone do it that way. Just sounds crazy to me.
     
  4. WIPensFan

    WIPensFan PlowSite Veteran
    Messages: 3,486

    That's not a good way to do it!! Your going to lose big on that. If you have to babysit this property all day then raise the price for each increment.
     
  5. Snowman7

    Snowman7 Member
    from WI
    Messages: 69

    I will walk away from the account if he wants to stick to doing it that way. I told him I charge per push and the rate depends on how much snow is on the ground at the time period.
     
  6. grandview

    grandview PlowSite Fanatic
    Messages: 14,609

    Tell him here's the seasonal price,this way there is no billing problems . It snows you plow.And this way he can budget for the season with no surprises.
     
  7. Snowman7

    Snowman7 Member
    from WI
    Messages: 69

    Is there a guideline or formula to figure out a seasonal amount. Average snowfalls X ?? also how do you figure out number of salt applications for a season contract.
     
  8. grandview

    grandview PlowSite Fanatic
    Messages: 14,609

    Take the ave. number of times you plowed multiplied by the per push price and add a few just in case.Salt is extra each time.
     
  9. Snowman7

    Snowman7 Member
    from WI
    Messages: 69

    So you don't include salt in the seasonal price?
     
  10. grandview

    grandview PlowSite Fanatic
    Messages: 14,609

    Nope. You can get burned on it,that why it's extra.
     
  11. Snowman7

    Snowman7 Member
    from WI
    Messages: 69

    Salt Included??

    Thanks for the input. It is very helpful. Does anyone include salt in their seasonal rate?
     
  12. Longae29

    Longae29 PlowSite.com Addict
    Messages: 1,954

    I do......just make sure to include more than enough. As long as you are ready, and have bid to do it for every minor accumulation you'll be fine.
     
  13. big acres

    big acres Senior Member
    Messages: 653

    We try to avoid it to keep our numbers low, but if we do we will include a "cap"

    ... "Up to X tons/applications of salt included in the contract price". If you hit this number then notify them for authorization to continue salting.

    The "per storm" price thing seems to be regional... we don't see it here. We usually include an "open-up" price for running drivelanes during the storm, or go T&M if there are alot of variables like traffic in busy retail...
     
  14. harts

    harts Junior Member
    Messages: 3

    confused?

    I m kind of new to this pricing thing, when you say "$$$ per push", could you explain how long a push is or what it means exactly?
     
  15. grandview

    grandview PlowSite Fanatic
    Messages: 14,609

    To plow the whole lot once is a per push.
     
  16. Mark Oomkes

    Mark Oomkes PlowSite Fanatic
    Messages: 10,853

    Yup, more and more customers are putting this in their specs. Hard to do without some history, but it is possible.

    All mine have been OK, but I still keep waiting for that light year to just roll in the bucks :rolleyes: and it hasn't happened now in 3.