Finance

Labor burden: what you actually pay per hour

Your tech costs more than their wage.

By Lakehouse · 3 min read · Updated July 2026

The wage on a tech’s check is not what they cost you. Add payroll taxes, insurance, benefits, vehicle, tools, and downtime, and the real cost per billable hour is much higher than the number you think.

That fully loaded number is your labor burden, and if you do not know it, you cannot price to profit. Many shops discover they are barely breaking even on hours they thought were making money.

You cannot mark up a cost you have never actually measured.

Calculate it, then price above it with margin. See our hourly rate calculator.

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By Lakehouse

Notes from home service businesses, for growth-minded owners.

See it on your own jobs.

Book a working session with the Lakehouse team. Bring a real job, a real estimate, and a real question about running your business. We will show you how Lakehouse handles it.

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