Knowing what it costs to operate your equipment is probably the most critical number needed for a successful business. Budgeted hourly cost rates should be updated anytime there are significant changes in a company’s expenses, equipment, staffing, and productivity.

Your estimating and costing software depends on up-to-date budgeted hourly cost rates to generate accurate estimates and job costing reports. If your cost rates are flawed or outdated, so are your estimates and costing reports.

This may sound obvious, but considering the industry’s competitive environment, rates that are off just a few dollars can have a substantial impact on whether or not you win orders or make a profit.
Cost Rates Advisor tells you the minimum amount you must charge for your equipment and services in order to cover your operating costs and break-even, but more importantly, what you need to charge to make a profit.