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Adding your COGS - Field Labor

The purpose of this article is just to give you a quick overview of the field labor tab within your LMN Budget.  For a complete tutorial, we strongly recommend you watch our onboarding videos - specifically Step #2 under LMN's Budgeting & Estimating 5 Step Onboarding. 

 Field Labor Information

  • Make sure you've added Field Labor Burden % to budget for payroll taxes, worker's comp fees, and unemployment insurance (national average is between 15% and 25%).  Unsure how to calculate your Labor Burden?  Click HERE for instructions!
  • If you pay overtime, ensure you have selected the correct Overtime Multiplier.

  • Make sure you've only included staff whose time you estimate on jobs! (e.g. foreman, laborers, lead hands, operators). 
  • Try to be general when adding your Employee Types - we suggest breaking this down by Employee Role as opposed to adding individual staff members by name.  
  • Average your staff wages out to have one line for each position type in your company (e.g. Construction - Foreman, Maintenance - Laborer, etc.)

  • We have two options for staff on this page: Hourly vs. Salary.  Make sure you add any staff who are paid by the hour to the Hourly Field Staff area and any staff who are on salary to the Salary Field Staff area. You can click on the header to switch between the two pay types.

Field Labor Tips

  • Make sure you have not included anyone whose time you do not include on estimates (e.g. mechanics, office admin, estimators).  Have a staff member that divides their time between the field and the office?  Click HERE for instructions on how to set them up!
  • Check your payroll hour forecasts.  Compare it with last year's payroll records for accuracy.  If your forecasting significantly more sales, make sure you're budgeting for more payroll hours to get the increased work done.  You may need more staff and/or more hours.
  • Check wages for updates.  If you plan on raise(s), make sure they are in your budget.
  • Unsure if you will be giving bonuses?  Leave as zero for now.

 

 

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