Whats a fair charge for a 580 E Case , by the hour?

   / Whats a fair charge for a 580 E Case , by the hour? #1  

coffeeman

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Aug 7, 2005
Messages
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I have someone doing work for me. He always leaves it up to me to decide what to pay. I am looking to a bigger project and want get idea on what s fair for both.
he's a neighbor and want it to be fair.

Have a good afternoon...Cheers.....Coffeeman
 
   / Whats a fair charge for a 580 E Case , by the hour? #2  
There is considerable variation in custom rates depending on location.

Ag. economics departments at the various land-grant universities publish periodic surveys of custom rates. The 2018 survey from Iowa State lists the following hourly rates for back-hoeing:

average = $98.60
median = $95.00
range = $75.00 - $145.00

https://www.extension.iastate.edu/AGDM/crops/pdf/a3-10.pdf

Steve
 
   / Whats a fair charge for a 580 E Case , by the hour? #3  
Neighbor close enough that he drives it over, or does he have to haul it? Even short distance, not really cheap to move one on a trailer.

Figure 2-3 gal per hour diesel depending on how hard he's running it plus getting it to you and back home. That's what it's costing him bare minimum (not incl $ he has tied up in machine, hrs toward next service, insurance, etc). So just @ 6 hrs a day it's costing him $50 at least. I don't think tripling his cost is unreasonable assuming he's doing it to be friendly, not put food on the table.
 
   / Whats a fair charge for a 580 E Case , by the hour?
  • Thread Starter
#4  
Neighbor close enough that he drives it over, or does he have to haul it? Even short distance, not really cheap to move one on a trailer.

Figure 2-3 gal per hour diesel depending on how hard he's running it plus getting it to you and back home. That's what it's costing him bare minimum (not incl $ he has tied up in machine, hrs toward next service, insurance, etc). So just @ 6 hrs a day it's costing him $50 at least. I don't think tripling his cost is unreasonable assuming he's doing it to be friendly, not put food on the table.
He can drive over. Not hard work for machine. Little hoe work and mostly leveling spreading material etc. His machine is pretty old, but runs good. As we all know, things ain't cheap today and age of machine is not really a factor.

Cheers....Coffeeman
 
   / Whats a fair charge for a 580 E Case , by the hour? #5  
My brother charges $110 an hour for a Case 580L(?). He is a self employed excavating contractor in upstate NY. Half of this rate for a neighbor helping out? Seems fair.

Will
 
   / Whats a fair charge for a 580 E Case , by the hour? #6  
A guy that knows what he is doing is worth more than the machine. Not saying that's me.

Somehow it always seems that if there is an expensive machine involved, the operator doesn't get enough. Not sure I'm expressing that right. If I show up to do technical work with a suitcase of tools I might get 75-90 CDN. If I show up with a hundred grand of equipment, Or more, I might get the same.
 
   / Whats a fair charge for a 580 E Case , by the hour? #7  
My L4060hstc cost $45k & by my calculations costs me $35/hr to run for fuel insurance, maintnance & depreciation. An old hoe will be a lot less on depreciation & more on maintnance.

Is he a friend or a neighbor contractor? My going rate is $75/hr. My friend rate is $35/hr. Those friends help with manual labor & other stuff on my projects. So my skill as an operator isnt super relevant & it's a wash on my time vs their time helping each other.

I'd wager he's going to be around $40/hr for operating costs, maybe upwards to $50. So that's a good starting point. Beyond that, what's the value of his time & do you return the favor generally?
 
   / Whats a fair charge for a 580 E Case , by the hour? #8  
Im in NY. Mini excavator 3klbs. Its my side business. $55-$75hr depending on location, 4hr minimum. I dont have insurance, like im sure your neighbor dosnt either. I usualy do a job every 2 weeks. Just busy enough for me.
 
   / Whats a fair charge for a 580 E Case , by the hour? #9  
he's a neighbor and want it to be fair.


Fair is always relative, neighbor and friend have two different meanings too. If the machine sits and for his personal use; fuel, grease and a nice dinner are fair (plus anything that breaks on your job). If it痴 used elsewhere to make money, no less than 65 an hour.
 
 

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