Shop Rate $149/hr. ???

[UFO Pilot]

I understand all of the fees, overhead, etc. What I don't understand is why the Honda and Mazda dealers charge $135 and the Volvo, Cadillac, etc dealers charge $195. Where does the extra $60 per hour come from?

FWIW the local RV repairs goes for $90 to $135. Low end is for mobile techs but a lot of them charge a fee just to show up.

[Scottybdivin]

The problem we are having here in Texas is a shortage of skilled labor. Can't blame it on the illegals because they're not there either. The shops all go up on their rates while at the same time the experience and subsequently the quality are headed the other direction. In my busines and IMO, we are at the lowest level of skill we have ever seen in my lifetime. It's pretty much across the board in all industries, professional to service. I could only dream of having a bunch of $10 / hr guys running around when the ones I try to hire for $15 can't spell "SHOVEL", let alone use one.

[UFO Pilot]

Our local High School used to have wood shop, auto shop, welding shop, etc. Now there isn't a single shop class left. How are young people supposed to learn a craft if the schools only want to teach computer classes? Buying a set of tools doesn't make you a craftsman.

[RKins]

Originally Posted by UFO Pilot

Our local High School used to have wood shop, auto shop, welding shop, etc. Now there isn't a single shop class left. How are young people supposed to learn a craft if the schools only want to teach computer classes? Buying a set of tools doesn't make you a craftsman.

Bingo!
The shop I have used in Sarasota (Sunstate) is $125 /hr for RVs.

[Hgrace56]

Book rates inspire shortcuts for time as mechanics are paid X hours even if the can do it in 1/4 X.
Also even book rates are calculated from an hourly rate.
Been in business over 35 years and I can tell you this.
Wages have been stagnant for 30 years while expectations have risen 1000%
Best answer to develop a relationship with a service provider you trust and like and work things out together.

[Mr_D]

Originally Posted by Fiesta48

My work is stellar, cheap, saves me a bundle (hundreds of thousands by now), gets every job done right, don't have to drive it somewhere, don't have to leave it somewhere, don't have to pick it up after they want to do it, keeps me busy, don't pay a premium on parts.
If and when something breaks I figure out what's wrong and learn more.
I've avoided many serious break downs by keeping my eye on all systems.
I have very little downtime on any of my stuff.
Oh, occasionally I get my hands dirty.

I do the same, although now I'm 70 and it's harder to crawl around the rig.

[Nasdaqsam]

Originally Posted by Hgrace56

Book rates inspire shortcuts for time as mechanics are paid X hours even if the can do it in 1/4 X.
Also even book rates are calculated from an hourly rate.
Been in business over 35 years and I can tell you this.
Wages have been stagnant for 30 years while expectations have risen 1000%
Best answer to develop a relationship with a service provider you trust and like and work things out together.

???? Book rate includes full warrantee on the work performed...I don't know about stagnant my friend makes 6 figures working book rate as a Toyota mechanic. He is actually Lexus certified but makes more at Toyota because of his particular skill set.

Like you I have been in the business (The housing market) for over 40 years. Our help has developed a skill set that few can replicate there by can demand what they make......

[TJFogelberg]

It's a free for all out there. An ACTUAL hourly rate of $149 is a bargain for someone who can get the job done. Markup on parts, "book rate" and competency are the wild cards.

[Trilug]

I'm starting to feel fortunate with mine. Being an old school bus, there is only one place within an hour of me that will work on it. The charge $89 an hour, and can give me an estimate of how many hours it will take because of how often they get buses in.

I need to bring mine in to get a tire replaced, ($180) and I'm going to talk to them about going through the mechanical with a fine tooth comb to see if there is anything that I need to address.

I can do much of the work myself, but I suck at diagnostics.

[Fyrflie]

I find it interesting that everyone wants to make $100 or more per hour but aren't willing to pay that amount.

[Hgrace56]

Originally Posted by Fyrflie

I find it interesting that everyone wants to make $100 or more per hour but aren't willing to pay that amount.

Exactly

[Itasca66]

$149 a hour .. buy a Manuel and figure out how to do it yourself .
It don't matter how much tools cost at that price. You can buy a bus hoist also just for servicing lol
If rig cost $500,000 you can put up shop bus hoist for under $50,000 .and hire mechanic to come out and help if need drop engine or tranny. What part am I missing here ..

Itasca66

[nothermark]

Originally Posted by Nasdaqsam

For all the reasons you just explained is the exact reason book rate works. If a tech is good he can complete most jobs in way under the allowed rate there by making his own salary. The books on auto's are set up for the average mechanic giving time for research etc. They are not set up for an Olympic speed mechanic.

I have a good friend that is a Toyota mechanic that mastered a 21 hour transmission fix on an inherent issue on some older standard shift trucks. He could do the job in 6 hours. At one time he was doing 5 of these a week working 30 hours getting paid for 105 hours. This is why a good tech should do it no other way. The dealership was ecstatic with this guy they were making money hand over fist.

The book rate also serves to make poor mechanics strive to be better. Otherwise what's the incentive? They get paid whatever/hr no matter how fast or how slow they go. It is also a quick way for shops to weed out mechanics that are lazy or just unable to do the job.

You are missing the key to book rate. Build 5 models at 800 a day and you have a pool of similar vehicles where a process can be developed to do each repair. That way you can have an individual mechanic doing 5 of something a week.

In the RV industry the build rate of any particular model is less than 1 per day. The cost of developing and distributing a flat rate book would be astronomical. It would be nice but the tech would just spend more time looking at what the book said then figuring out whether or not what he has matches the book. The cost of the book is part of the shop overhead. The cost of reading it goes on your bill. So do coffee breaks, personal breaks and cleanup. If it's not part of your billed time then it's rolled into the markup. Somebody has to pay for it.

[nothermark]

Originally Posted by UFO Pilot

Our local High School used to have wood shop, auto shop, welding shop, etc. Now there isn't a single shop class left. How are young people supposed to learn a craft if the schools only want to teach computer classes? Buying a set of tools doesn't make you a craftsman.

That is because the folks running the education system think everyone will get a liberal arts degree so they will make a lot of money. They no longer see a need for people to build or fix things. If you want to have fun point out the difference in salaries of english majors and most 2 yr technical degrees. There is one problem, most of the technical degrees need more math and science that the schools want to provide.