Do you charge your friends for tractor work?

[duffer]

I was raised to be a good neighbor. So for the most part, I'll help out anyone I know, within reason of course.

Next door neighbor is a widow and after a bad storm took out 8-10 trees, and parts of one, I cleared her 5 acres of all brush, cut up the trees and hauled everything to the road for the county to pick up. Cost me $1000 in medical bills for that "favor". I'm an old fart, and pulled several muscles needing MRI's, etc. She never heard a word about it.

Have another neighbor a ½ mile away I'll do anything for, as he does anything for me. It's great. We each have our own skill set, and we compliment each other pretty well.

 

[ning]

I've helped out a neighbor a couple times and recently they asked if they could pay me to level an area for a container move a pile of branches & logs; I explained that they could get a lot better equipment & operator than I could possibly charge (I have a "real job" and it pays way better than I could possibly charge to make up for lost time), and that my tractor wasn't the right thing for the leveling but I'd be happy to move the pile for them for free. They got someone with lots of experience and an excavator which was definitely the right thing to do here this time of year (hard clay)

 

[jyoutz]

In the winter I will plow snow down the entire private section of road, helping out 4 additional neighbors in addition to my driveway. I don’t charge for this. But otherwise I don’t have time to do tractor work elsewhere. I don’t even have time enough to finish all of my work.

 

[George2615]

I don't charge friends to do tractor work. They usually refill my diesel tank. Same with my trailer. I will haul their stuff usually less than 50 miles and not charge. The exception is going a long distance. In the past I've gone up to a 6 hour ride each way to pick up vehicles friends have bought. I only ask for them to refill my fuel tank. They in return do come to help me on projects at home and don't charge me. I also snow plow 3 neighbors driveways and clear a swath by their mailbox so the letter carrier don't have to drive in the snow bank to reach the box.

 

[paulsharvey]

So, tractor or not, can be just my skills/abilities/tools. Friend needs help, I help for free; on there own property/projects/tasks. As soon as this is a business/profit kinda deal, no. So; friend needs dirt graded so his gate opener works; free; not charging fuel/time/transport. Same guy needs same done at his flip house, or spreading fill on his hired culvert job; not free.

Had a handyman friend; did a lot of kinda subpar work on rentals for a lady. I will come work on Your well, but not your rental lady's

I'll help you poor the slab on Your barn, but im not helping (for free that is) on your side hussles. Now, you want to cut me in, a fair rate, thats different; but your expectations of me are different too...

 

[paulsharvey]

Biggest thing with friends and or family; there Has to be an understanding of everyone's expectations. I pay you market rate; you better be sober, on-time, and working. I expect the same if im working for you. With that, you pay me market rate, and I blow a tire, thats a me problem. If im paying you market rate, dont cry to me about your tire, im clocking you and your machine out until back in action.

If im helping for free; I'll try to be on-time, but maybe I'll be late, I kinda expect food/beer, and not to be "bossed" around.

 

[Wagtail]

To answer the question, yes, I charge my friends for tractor work... usually a nice dinner and gas money will suffice.

Yes, I'll charge for any tractor fun, er, work... the appropriate number of bottles of Pinot Noir for the time and job.

Failing that, I'll take a fuel card for the diesel 'spent'.

People around here always want to repay you somehow.

 

[paulsharvey]

With all this; I tend to help Way Way more than ask for help. I Hate calling favors, and I really Hate owing favors

 

[ssgp2]

Just out of curiosity what is your going rate?

Around the DFW area, anywhere between $60 to $100/hr. depending on tractor size and the specific job. But $75 is where I'm at. That's right at 25% profit. The cheaper guys typically don't carry liability ins.

 

[bdhsfz6]

In the winter I will plow snow down the entire private section of road, helping out 4 additional neighbors in addition to my driveway. I don’t charge for this. But otherwise I don’t have time to do tractor work elsewhere. I don’t even have time enough to finish all of my work.

I do exactly the same thing. All have offered to pay but I figure I'd have to plow the road anyway for my own use, so I decline. Unfortunately, the word spreads and I'm always being asked for "freebies" from others outside the area, which I have to refuse.

 

[HawkinsHollow]

Around the DFW area, anywhere between $60 to $100/hr. depending on tractor size and the specific job. But $75 is where I'm at. That's right at 25% profit. The cheaper guys typically don't carry liability ins.

Wait so you are telling me that when you are doing tractor work at $75 you only make 25% of that as profit? So you are paying yourself $18.75? Am I not understanding something?

 

[paulsharvey]

Wait so you are telling me that when you are doing tractor work at $75 you only make 25% of that as profit? So you are paying yourself $18.75? Am I not understanding something?

In theory, you should be paying yourself an operators pay, and then "profit" above your hourly pay.

 

[HawkinsHollow]

In theory, you should be paying yourself an operators pay, and then "profit" above your hourly pay.

That makes more sense. So out of that $75 he has already paid himself and the 25% profit goes in the bank.

 

[Oaktree]

I was raised to be a good neighbor. So for the most part, I'll help out anyone I know, within reason of course.

Same here. Probably 2/3 of my neighbors have their own tractors so not much call for tractor work. I'll plow out the end of one neighbor's driveway in the winter (he has a snowblower, but the tractor will handle what the town plow puts there much easier). Even though they're younger than me, neither is in very good health. They'll "repay" us by feeding the cats when we're away, some (yummy!) baked goods and occasionally a $25 Irving gift card.

I'll do some trail bush hogging for our local snowmobile club, though only sections I can drive it to (don't have a trailer that can handle it).

 

[paulsharvey]

That makes more sense. So out of that $75 he has already paid himself and the 25% profit goes in the bank.

So, the way I've had it explained, its better to pay yourself, say $25/hr and make $25/profit; then $50 pay, as if you ever sell the business, you can show that the Business is making money.

Edit: also, business loans, ect. Possibly even insurance. Thats not to say you dont take the profits out,

 

[Jstpssng]

So, the way I've had it explained, its better to pay yourself, say $25/hr and make $25/profit; then $50 pay, as if you ever sell the business, you can show that the Business is making money.

Edit: also, business loans, ect. Possibly even insurance. Thats not to say you dont take the profits out,

I used to estimate that 1/3 of my intake was income. The other 66% went to insurance, taxes, and other expenses.

 

[ssgp2]

Wait so you are telling me that when you are doing tractor work at $75 you only make 25% of that as profit? So you are paying yourself $18.75? Am I not understanding something?

After all expenses.

 

[ssgp2]

That makes more sense. So out of that $75 he has already paid himself and the 25% profit goes in the bank.

Correct

 

[HawkinsHollow]

Correct

Still not clear. So you are paying yourself $18.75 (25% of $75) or are you paying yourself more and the $18.75 is leftover profit for the company? Not sure I would have help my buddy if I was only taking home $18.75.

 

[ssgp2]

Still not clear. So you are paying yourself $18.75 (25% of $75) or are you paying yourself more and the $18.75 is leftover profit for the company? Not sure I would have help my buddy if I was only taking home $18.75.

$18.75 is what's left after all expenses. ie. my pay, insurance, maintenance costs, fuel, mileage etc.