All Collections
The Basic Stuff
[CLIPxe/QCLIPxe] Man Hours - How to Calculate
[CLIPxe/QCLIPxe] Man Hours - How to Calculate

CLIPxe QCLIPxe How to Calculate Man Hours Dollar Per Man Hour Goal

Jonathan Conaway avatar
Written by Jonathan Conaway
Updated over a week ago

The man hour rating is the minimum number of man-hours a job can take for you to still make your dollar per man-hour goal. You will use man hour rating to help you determine exactly how profitable each of your jobs cost.

To determine a job's man hour rating, you must first determine your company's dollar per man-hour goal. You must then divide the job's Charge Per Job by your dollar per man-hour goal and then you will have the job's Man Hour Rating. The following is a simplified mathematical explanation:

Calculating the Man-Hour Rating:

Let us say that your company has a year-end goal of $200,000. You have four production employees. They work on average 45 hours per week and 45 weeks per year. We must first calculate your dollars per man-hour goal.

Now take your $24.69 per man-hour goal and calculate the man-hour rating for a job for which you are charging $40.00 per job.

You would now enter 1.62 hours as the man hour rating for this job. This field is located on the "Job Detail" screen.

Let us know if you need further assistance!

Did this answer your question?