Paper Boy
13th June 2008, 10:19 PM
Painting benchmarks and examples (http://www.ato.gov.au/content/00117597.htm)
Industry endorsed benchmarks for painting.
Floor sanding and polishing benchmarks and examples
Floor sanding benchmarks and examples (figures include GST)
The table below can be used to compare your business performance to the industry average.
Trade Benchmark Guide
Your Business
Coverage rate for sealer coat
10 to 12 square metres per litre
Coverage rate for finish coat
10 to 12 square metres per litre
Average job size
80 square metres
Time to complete average job
One tradesman
Two tradesmen
One tradesman
Two tradesmen
5 days
3 days
Price charged – varies according to region and amount of preparation and coats required.
$18 to $35 per square metre (average rate $25)
Benchmark sales turnover (figures include GST)
The table below can be used to compare your recorded sales against the industry average. This can be a useful way of double checking that your sales turnover reflects your recorded sales.
Sales Turnover Guide
Tradesman only
Tradesman plus labourer
Your Business
Amount of sealer purchased during a year
293 litres
486 litres
Amount of finish purchased during a year
293 litres
486 litres
Amount completed during the year (from quotes/invoices or calculated by multiplying volume of sealer or finish by your coverage rate).
3520 square metres
5840 square metres
Price per square metre
$18 to $32
(average $25)
$18 to $32
(average $25)
Sales turnover range
$63,360 to $112,640
$105,120 to $186,880
Average at $25 per square metre
$88,000
$146,000
Average job size
80 square metres
80 square metres
Jobs completed per year
44
73
Days worked in year
220
220
Practical examples (figures include GST)
<LI value=1>Andrew runs a floor sanding business doing mostly domestic work and he always purchases the material necessary for a job. He charges $25 square metres on average. He always uses a sealer coat before applying a coat of finish and has an average spread rate of 10 to 12 square metres per litre. He works by himself as his jobs are usually in the range of 75-85 square metres and take about five days with preparation and clean up.
Using the first table of the guide, Andrew finds his business practices are comparable with industry benchmarks.
Andrew has purchased 600 litres of sealer and finish coats during the year. Using the second table, his use of 300 litres each of sealer and base coats and average coverage rate of 11 square metres completes 3,300 square metres in the year. Then using his average charge of $25 square metres, this suggests that his yearly sales would be $82,500.
He then checks his total sales reported on tax invoices against the $82,500, and notes they are only $70,000. As there is a significant variance, he reviews his records again. Double checking his quote book, he finds five jobs where he used his written quote as a tax invoice to the customer and did not include this in his sales. They also include some minor repair jobs.
When these sales are added to his tax invoices, he calculates his sales for the year at $88,000 and he is within the benchmarks on the second table. He is now satisfied with his records.
Alexander has a floor sanding business with one employee. He does mostly quality domestic work and therefore charges $33 square metres, and has a coverage rate of 9-12 square metres for his materials and takes about three days on each job on average. The usual size of the work he estimates is about 80 square metres with one coat of sealer and finish coat per job.
Using the first table, Alexander believes his business is comparable to other floor sanders, although his rate is at the high end because of the type of work he does.
Checking his records against the second table, he finds that he has purchased 1,100 litres of materials during the year as he was very busy due to flood damage in his area. Half of this amount is the sealer and/or finish used (550 litres). Using a coverage rate of 10 square metres in the table, this would be work completed of 5,550 square metres and produce income at his average rate $33 square metres of $183,150. Using the table again with a coverage rate of 12 square metres, his potential work completed is 6,600 square metres and business income $217,800. He therefore anticipates income of $183,150 - $217,800.
As he has calculated his income for the year at $205,000, Alexander is generally satisfied he has kept his tax records accurately. He is above benchmark income in the second table because of his charge out rates and he was very busy.
Industry endorsed benchmarks for painting.
Floor sanding and polishing benchmarks and examples
Floor sanding benchmarks and examples (figures include GST)
The table below can be used to compare your business performance to the industry average.
Trade Benchmark Guide
Your Business
Coverage rate for sealer coat
10 to 12 square metres per litre
Coverage rate for finish coat
10 to 12 square metres per litre
Average job size
80 square metres
Time to complete average job
One tradesman
Two tradesmen
One tradesman
Two tradesmen
5 days
3 days
Price charged – varies according to region and amount of preparation and coats required.
$18 to $35 per square metre (average rate $25)
Benchmark sales turnover (figures include GST)
The table below can be used to compare your recorded sales against the industry average. This can be a useful way of double checking that your sales turnover reflects your recorded sales.
Sales Turnover Guide
Tradesman only
Tradesman plus labourer
Your Business
Amount of sealer purchased during a year
293 litres
486 litres
Amount of finish purchased during a year
293 litres
486 litres
Amount completed during the year (from quotes/invoices or calculated by multiplying volume of sealer or finish by your coverage rate).
3520 square metres
5840 square metres
Price per square metre
$18 to $32
(average $25)
$18 to $32
(average $25)
Sales turnover range
$63,360 to $112,640
$105,120 to $186,880
Average at $25 per square metre
$88,000
$146,000
Average job size
80 square metres
80 square metres
Jobs completed per year
44
73
Days worked in year
220
220
Practical examples (figures include GST)
<LI value=1>Andrew runs a floor sanding business doing mostly domestic work and he always purchases the material necessary for a job. He charges $25 square metres on average. He always uses a sealer coat before applying a coat of finish and has an average spread rate of 10 to 12 square metres per litre. He works by himself as his jobs are usually in the range of 75-85 square metres and take about five days with preparation and clean up.
Using the first table of the guide, Andrew finds his business practices are comparable with industry benchmarks.
Andrew has purchased 600 litres of sealer and finish coats during the year. Using the second table, his use of 300 litres each of sealer and base coats and average coverage rate of 11 square metres completes 3,300 square metres in the year. Then using his average charge of $25 square metres, this suggests that his yearly sales would be $82,500.
He then checks his total sales reported on tax invoices against the $82,500, and notes they are only $70,000. As there is a significant variance, he reviews his records again. Double checking his quote book, he finds five jobs where he used his written quote as a tax invoice to the customer and did not include this in his sales. They also include some minor repair jobs.
When these sales are added to his tax invoices, he calculates his sales for the year at $88,000 and he is within the benchmarks on the second table. He is now satisfied with his records.
Alexander has a floor sanding business with one employee. He does mostly quality domestic work and therefore charges $33 square metres, and has a coverage rate of 9-12 square metres for his materials and takes about three days on each job on average. The usual size of the work he estimates is about 80 square metres with one coat of sealer and finish coat per job.
Using the first table, Alexander believes his business is comparable to other floor sanders, although his rate is at the high end because of the type of work he does.
Checking his records against the second table, he finds that he has purchased 1,100 litres of materials during the year as he was very busy due to flood damage in his area. Half of this amount is the sealer and/or finish used (550 litres). Using a coverage rate of 10 square metres in the table, this would be work completed of 5,550 square metres and produce income at his average rate $33 square metres of $183,150. Using the table again with a coverage rate of 12 square metres, his potential work completed is 6,600 square metres and business income $217,800. He therefore anticipates income of $183,150 - $217,800.
As he has calculated his income for the year at $205,000, Alexander is generally satisfied he has kept his tax records accurately. He is above benchmark income in the second table because of his charge out rates and he was very busy.