I just got a quote for $2,300 per year based on a $10K payroll for 1 part time employee. Is that ridiculous, just stupid, or stupid ridiculous?
That rate will increase too if you cant employ them year round, your experience rating will be effected if they collect unemployment.
Many don’t realize what it takes to operate a business and the costs involved just to employ people.
1 Like
Welcome to owning a business instead of owning a job. Don’t forget to budget for hiring expenses like posting employment ads, training, uniforms/equipment, broken equipment/uniforms, etc.
The worker’s comp is only a small component.
4 Likes
I knew it wouldn’t be cheap, but $17.48 is nuts. I’m not doing high rise. I indicated 3 story, but from the ground with a WFP. My employee uses a 3 ft. step ladder on occasion.
Did you use both codes? 9014 and 9170?
9014 is half the rate of 9170
And you have to tell the insurance people because they’ll automatically use 9170 which is for off ground (ie high rise) window cleaning.
9014 is for ground level.
Put 90% is 9014 and only 10% in 9170. You’ll get a better price. Just specify in your CMS what is off ground for when you get audited.
6 Likes
I have no idea what codes she used. I’ll send this info to her though. Thanks!
Just tell her to copy mine.
1 Like
Can I send those percentages and codes in an email to her?
This is a major reason why a lot of solo ops don’t expand. Plus then you go through all the trouble to hook up the workers comp and get your taxes in order only for the new guy to say he doesn’t like it in 2 months. And once you sign the contract your in it for the duration whether the new guy sticks with you or not.
2 Likes
Not sure what you mean here? What do you mean duration of the contract. If my guy quits I’m cancelling WC coverage that day.
Naw, it would be better to keep it. If you cancel, it puts you in a risk category and they might not want to carry you. They’ll audit you at the end ofif the year so whatever you over paid will be refunded to you.
3 Likes
Jared is 100% right.
On the codes (I didn’t know the actual codes…good reveal man) and percentages of work for each, my agent did the same thing and that money that you are paying? Dude, thats a great price, hopefully it go’s down for you.
You’ll get money back at the end of the year tho if your guys don’t hit that mark, you might pay more if you are above that estimated dollar amount.
NOW you will start to get pissed like everyone else when you go on a bid and get lowballed when you know you can’t go any lower that where you are. Its cuz bucket bob don’t GOT no overhead.
KEEP that WC. You’ll see man, it puts you in a different league just by having it. You’ll see when you have conversations with property managers etc…instant respect.
Jared is dead on about not keeping it. They may not even take you if you drop them. Where I am there’s only one provider who take window cleaners…state fund. If you go with a payroll outfit, it will be 5 Star. State fund is actually cheaper!
1 Like
Yep paying 560 a month on workmens comp for employees that quit within first week of starting.
Here in PA once you sign the contract you are signing for 1year. You can’t just go canceling if something doesn’t work out. Your up for the full lineup of fees. yes, they do audit you at the end of the duration but your still stuck paying the monthly premium.
I could only find one company to get coverage too. Definitely don’t want to cancel on them…
I’m not trying to discourage you by any means from moving forward but do want you consider all angles for sure. If you can find great people waste no time. If great people are hard to find maybe reconsider.
Guys do you need workman’s comp if you’re hiring other positions too? For example, I’d like to hire my mom as a secretary next year. I feel it would be kinda silly to pay $2-3k just so she can print out invoices and answer phone calls a few hours a week.
Yes any employee needs to be covered, Secretary would be identified as such for a lower rate.
2 Likes
You wouldn’t pay that much. Office workers have a different rate. There’s more companies to choose from as well that offer workers compensation for office workers.
2 Likes
This may help.
http://www.nfib.com/content/legal-compliance/legal/workers-compensation-laws-state-by-state-comparison-57181/
3 Likes
Workers comp for window cleaners is pretty high. Although, my insurance agent told me I should see what the roofers are paying.
This thread is the reason I sold my window washing business back in the 80’s. They wanted 100% on every paycheck my business wrote, even the janitorial guys. The guy who bought my route didn’t care about workmans comp. His guys never had any accidents so he didn’t need it. Crazy
PS
They wanted to charge me the hi rise rate and didn’t care that I was mostly janitorial with route work and low rise added in. They let me do the windows at my janitorial accounts at the janitorial rate.
1 Like
