Southern California Handyman here. Great advice! I unfortunately have to fight the crazy $500 labor and materials rule here in this state. So I just stick to small simple jobs, that have low material cost. I’m lucky enough to have a wife that has a good income also, so I aim to make $300-$500 a day if possible. Not always the case everyday, but that’s the goal at least. California makes it very difficult to stay within the legal $500 per job limit. But I try my best😉. Thanks for sharing.
Maybe twist the insane rules in your favor by telling clients that they pay for all materials and that you work only for “donations”…? Then maybe start a charitable organization because you’re “working for free”… 🤷♂️
Why not just get the new B2 license and you can make the money back in one job. I lost 10 times the cost of getting the license, by not being able to do work covered by insurance or the HOA wanted licensed contractor. I had 20-30 people in just one gated community, I would have got the jobs if I had the license. Just a suggestion.
@@JC-DC they are naïve, a license just means you have the governments permission to do work. People are brainwashed to think you need a license you only need it to do electrical, hvac, and plumbing. Plenty other work you can do but these brainwashed people think you need a license.
The first video i watch that is accurate from start to finish. I did every step. I did it with no help, advise or experience. I made many mistakes. If i was to give advise, i say watch this video and do exactly that. My business has 3 guys guys now. 4 vehicles. Year 4, 1mil a year.
In corporate America, there’s a thing called burdened rate. You take the raw cost of labor, which is the hourly pay, and multiply it by 1.65. The .65 is roughly what it takes to cover PTO, holidays, taxes and general overhead stuff to employ that person.
Started about 2 months ago and have been really successful just in my neighborhood just did a deck job for an above ground pool in a weekend I have a full time job but I schedule all my HM jobs around my work schedule everybody needs things done they don’t want to do get after it!!
Driving through traffic to Home Depot to then fight through traffic to the client to do a $150 job @$6 gallon to fight traffic home. That’s what it’s like to be a handyman in California. To pay taxes while illegal immigrants take cash under the table while you pay 2k a month to live in a room in someone’s house.
You don't need a EIN just track your expenses and report as self employed on taxes. Insurance is a must. I said $100 to hang a 65 inch tv and they tried to say they were quoted for $60 yeah right.
That only works if you dont own anything. Have a bank account, car , house or cool stuff.... great. they can sue you for it because you co mingled funds even if you have a llc and your no longer protected by the corporate veil. If you do this work regularly. Then you want to CYA. Get a name, Ein, and insurance.
@@workenhard so someone starting out not earning anything should have thousands saved first to pay the fees to get an llc and ein and then start paying the state a business tax on top of it. I bet you started and the business took off so you could easily pay for all these things those results are not typical.
Don’t bother with Angi Ads, etc., all scams and waste of money. Also, watch out for property management companies: they don’t pay you right away, you have to buy the materials with your own money, and I had one refuse to pay me and I had to take them to court. Another thing, you don’t need a tax number, you can simply run your business as a sole-proprietor and file your taxes like you normally do using your social security but of course tell your tax preparer that you have a sole-proprietor business.
That was a fantastic video. I have made lots of notes and am going for it this year! I am leaving teaching after 20 years and hoping for a fresh start. Thank you for this.
I gotta say, my brain has been messing with the idea. I've been laid off for awhile because of some health issues, I have a way to go yet, but you sure break that down well. Easier to eat an elephant when someone else carves it up for you.
Been wanting to start a business for a while, ive been in construction for only 4-5 years on and off working. I’ve done mostly demo, ive help out with framing, crown, base/trim, setting doors, tile, Sheetrock, little mason not much. Moral of the story is I’m only 25 and need more money, stuck on a name. Either way if there’s any pointers or ideas you could give or anyone at this point that would be greatly appreciated
I dunno if I missed it in the video but ( trigger alert ) Mike Lindell has had a really terrible experience with the BBB going sour on him - pretty rare case but something to be aware of. Yelp is a cesspool. Ask any restaurant.
If they agree do you have a form that they can sign so you have a proof that they agree pricing in case they refuse to pay after job is done ... Many people complain about it
Thanks for sharing... Would you philosophy or methodology (pricing) change when you hire an assistant, without pricing yourself out? In some jobs, a helping hand is needed; but the volume and nature of majority of calls there's no assistant needed. Is like being one step of away crossing the line to the contractor side of business. I love the physical aspect of the "hands on" but, there's a limit of how much our bodies can hold up to the tasks.
Great to the point vid. I'm now a subscriber! What's your pay structure i.e. do you require 1/2 up front and 1/2 upon completion or full payment upon completion or bill customers? Have a customer ever let you complete the job then try to haggle down your agreed upon price?
Always at least 1/3 upfront if not more. Only leave about 5% of the approved scope of work to be paid after job completion. Never had a customer not pay or try to haggle the price after the work was done. It takes clear communication and being direct and stern with your pricing.
I used to paint cars and had a couple try to re-negotiate upon completion 🖕. Not a chance pal! 50% when I picked up the car, the balance due when I return with it (always called and gave a couple days heads up) oh, and cash only (this was back when people actually used checks but 🤚 no thanks, cash)
I have multiple videos on my Patreon page about how I charge for projects. Short answer is...it depends. Longer answer includes multiplying your daily rate by the amount of days it will take to complete the job, and then you add multiple days (depending on the scope) in case things don't go as planned. Then add all materials with your markup, machine rental or your fee if you own machines, fees foe permits, fee for pulling permits and the list goes on.
@@RenovationsandRepair It seems that at $1000/day you would price yourself out if you charge 5k for 5 days. Do you not reduce your daily rate the longer the job?
Depends on your daily rate. For me I now sub out a good part of work. So as long as I make my % then I don't mind the daily rate tracking. Though if I'm on the job..no...in 5 days I can frame in a a garage and have the roof on. So $5000 for that is well within my customer's budget. So each job is different
The only thing I would say is don't expect a lot of "attaboy's" from your customers. I've done close to a thousand jobs, and I can count on one hand the number of times a customer even said a simple "thank you".
Get a cheap truck, a cheap cell phone about 1k in Milwaukee tools and you can do just about any job. You don't need all the ridiculous overhead to start and run a business. Expecting to pay off your monthly mortgage by doing a couple jobs is gouging. If you guys weren't in debt up to your eyeballs you could come down on your prices dramatically, and still pull an honest living. Your not a doctor or a lawyer, or working on heavy equipment, your setting fence posts, hanging a tv, changing out some deck boards so stop billing like you performed open heart surgery.
Southern California Handyman here. Great advice! I unfortunately have to fight the crazy $500 labor and materials rule here in this state. So I just stick to small simple jobs, that have low material cost. I’m lucky enough to have a wife that has a good income also, so I aim to make $300-$500 a day if possible. Not always the case everyday, but that’s the goal at least. California makes it very difficult to stay within the legal $500 per job limit. But I try my best😉. Thanks for sharing.
Why not move out of state?
Maybe twist the insane rules in your favor by telling clients that they pay for all materials and that you work only for “donations”…? Then maybe start a charitable organization because you’re “working for free”… 🤷♂️
“Donations” = the job rate that you would normally charge…*
Why not just get the new B2 license and you can make the money back in one job. I lost 10 times the cost of getting the license, by not being able to do work covered by insurance or the HOA wanted licensed contractor. I had 20-30 people in just one gated community, I would have got the jobs if I had the license. Just a suggestion.
@@JC-DC they are naïve, a license just means you have the governments permission to do work. People are brainwashed to think you need a license you only need it to do electrical, hvac, and plumbing. Plenty other work you can do but these brainwashed people think you need a license.
I am "this close" to giving it a shot myself. Have ALL the tools necessary except for a small trailer.....
The first video i watch that is accurate from start to finish.
I did every step. I did it with no help, advise or experience. I made many mistakes.
If i was to give advise, i say watch this video and do exactly that. My business has 3 guys guys now. 4 vehicles. Year 4, 1mil a year.
Nice, I’m planning to make my move this year. any advice?
Starting off this year with a $1700 drywall job, currently working right now. I am 25 yrs old makin it happen #FreeTate
Good work ain’t cheap, cheap work ain’t good
In corporate America, there’s a thing called burdened rate. You take the raw cost of labor, which is the hourly pay, and multiply it by 1.65. The .65 is roughly what it takes to cover PTO, holidays, taxes and general overhead stuff to employ that person.
good info
Started about 2 months ago and have been really successful just in my neighborhood just did a deck job for an above ground pool in a weekend I have a full time job but I schedule all my HM jobs around my work schedule everybody needs things done they don’t want to do get after it!!
Wow this is the best “No bullshit” video on the internet I’ve seen and I’ve looked thru a lot.
Thank you sir.
Driving through traffic to Home Depot to then fight through traffic to the client to do a $150 job @$6 gallon to fight traffic home. That’s what it’s like to be a handyman in California. To pay taxes while illegal immigrants take cash under the table while you pay 2k a month to live in a room in someone’s house.
Don’t forget illegals get free housing too.
You don't need a EIN just track your expenses and report as self employed on taxes. Insurance is a must. I said $100 to hang a 65 inch tv and they tried to say they were quoted for $60 yeah right.
That only works if you dont own anything. Have a bank account, car , house or cool stuff.... great. they can sue you for it because you co mingled funds even if you have a llc and your no longer protected by the corporate veil.
If you do this work regularly. Then you want to CYA. Get a name, Ein, and insurance.
@@workenhard so someone starting out not earning anything should have thousands saved first to pay the fees to get an llc and ein and then start paying the state a business tax on top of it. I bet you started and the business took off so you could easily pay for all these things those results are not typical.
One of the best handyman videos I’ve seen. Very simple and straightforward! Good job sir!
Don’t bother with Angi Ads, etc., all scams and waste of money. Also, watch out for property management companies: they don’t pay you right away, you have to buy the materials with your own money, and I had one refuse to pay me and I had to take them to court. Another thing, you don’t need a tax number, you can simply run your business as a sole-proprietor and file your taxes like you normally do using your social security but of course tell your tax preparer that you have a sole-proprietor business.
Craiglist is the shit! It’s my bread and butter to be honest. I love posting my ads there. $5 a day you can’t beat that
That was a fantastic video. I have made lots of notes and am going for it this year! I am leaving teaching after 20 years and hoping for a fresh start. Thank you for this.
Very condensed, no fluff. Thanks
Getting fired is the best thing that ever happened to me 😂😂😂😂😂😂😂😂 that's awesome new year new you
I gotta say, my brain has been messing with the idea. I've been laid off for awhile because of some health issues, I have a way to go yet, but you sure break that down well. Easier to eat an elephant when someone else carves it up for you.
Been wanting to start a business for a while, ive been in construction for only 4-5 years on and off working. I’ve done mostly demo, ive help out with framing, crown, base/trim, setting doors, tile, Sheetrock, little mason not much. Moral of the story is I’m only 25 and need more money, stuck on a name. Either way if there’s any pointers or ideas you could give or anyone at this point that would be greatly appreciated
I dunno if I missed it in the video but ( trigger alert ) Mike Lindell has had a really terrible experience with the BBB going sour on him - pretty rare case but something to be aware of.
Yelp is a cesspool. Ask any restaurant.
If they agree do you have a form that they can sign so you have a proof that they agree pricing in case they refuse to pay after job is done ... Many people complain about it
Yes everything is under a signed contract.
Thx . Semi retired. Sounds great.
Great advice! Thank you!
Great video Richard! Good tips and advice for the up and comer getting into the business!
I liked your well thoughtout and Informative video. I will be starting my Handyman Business very soon and found your thoughts, helpful.
Well done!
Great vid as usual👍👍
Thank you! Great info!
Good clear tips. I strongly agree with making a good, simple name and getting a separate phone number. Thanks for sharing!
You a Great Dude! Thank You!
Awesome, thank you brother for the information. I wish you luck and prosperity in everything that you do.
Excellent video, lot's of gems. Thank you!
Great video man. Nice insights and advice. Thanks. 🙏🏼
Thanks for sharing... Would you philosophy or methodology (pricing) change when you hire an assistant, without pricing yourself out? In some jobs, a helping hand is needed; but the volume and nature of majority of calls there's no assistant needed. Is like being one step of away crossing the line to the contractor side of business. I love the physical aspect of the "hands on" but, there's a limit of how much our bodies can hold up to the tasks.
Ask me how you feel after doing it for 30 years. I’ve done it for 35 and I just got burned out from it.
Thanks for sharing
Great information
Great to the point vid. I'm now a subscriber! What's your pay structure i.e. do you require 1/2 up front and 1/2 upon completion or full payment upon completion or bill customers? Have a customer ever let you complete the job then try to haggle down your agreed upon price?
Always at least 1/3 upfront if not more. Only leave about 5% of the approved scope of work to be paid after job completion.
Never had a customer not pay or try to haggle the price after the work was done. It takes clear communication and being direct and stern with your pricing.
@@RenovationsandRepair Thanks for the info!
I used to paint cars and had a couple try to re-negotiate upon completion 🖕. Not a chance pal! 50% when I picked up the car, the balance due when I return with it (always called and gave a couple days heads up) oh, and cash only (this was back when people actually used checks but 🤚 no thanks, cash)
Hey bro I have a question
FYI I did not pay for my ein
What forms of payment do you accept? Did you start accepting CC from the start?
Yes! Started with Square and now use Clover for CC payments. Highly recommend Gravity payments via Clover
When figuring out your minimum day rate, do you take into account your SO's income?
Yes
@@RenovationsandRepair thank you!
Why do you recommend not using your name in the business?
Limits future business opportunities and mergers you and the business more than it needs to be for legal reasons.
How do you charge for bigger jobs? You charge $1000 for a day. Do you charge $3000 for three days... $10000 for ten days?
I have multiple videos on my Patreon page about how I charge for projects. Short answer is...it depends. Longer answer includes multiplying your daily rate by the amount of days it will take to complete the job, and then you add multiple days (depending on the scope) in case things don't go as planned. Then add all materials with your markup, machine rental or your fee if you own machines, fees foe permits, fee for pulling permits and the list goes on.
@@RenovationsandRepair It seems that at $1000/day you would price yourself out if you charge 5k for 5 days. Do you not reduce your daily rate the longer the job?
Depends on your daily rate. For me I now sub out a good part of work. So as long as I make my % then I don't mind the daily rate tracking.
Though if I'm on the job..no...in 5 days I can frame in a a garage and have the roof on. So $5000 for that is well within my customer's budget. So each job is different
The only thing I would say is don't expect a lot of "attaboy's" from your customers. I've done close to a thousand jobs, and I can count on one hand the number of times a customer even said a simple "thank you".
Dress professional get treated Like one is my advice To everyone starting.
Aren't you supposed to charge sales tax if you mark up the materials?
No. As long as you paid sales tax when buying the item or items. Your mark up falls under additional labor charge
😎🛠️😎🛠️😎
Ok if true then how the heck u advertising
Get a cheap truck, a cheap cell phone about 1k in Milwaukee tools and you can do just about any job. You don't need all the ridiculous overhead to start and run a business. Expecting to pay off your monthly mortgage by doing a couple jobs is gouging. If you guys weren't in debt up to your eyeballs you could come down on your prices dramatically, and still pull an honest living. Your not a doctor or a lawyer, or working on heavy equipment, your setting fence posts, hanging a tv, changing out some deck boards so stop billing like you performed open heart surgery.
Free market is a beautiful thing. Charge as much as the market will bear. What part of Alaska are you in?
I can tell you this is the worst time
Yelp! is horrible!