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How can I add Labor as a Service?

Here's how you can create a Service to charge for Labor.

Colin Connor avatar
Written by Colin Connor
Updated over 3 weeks ago

Why Set Up Labor Fees?

Labor fees account for the time and effort your team dedicates to on-site work or project execution. Based on your business model, these fees can be customized—either as hourly rates or percentage-based charges—to ensure fair compensation and clear communication with clients.

Learn more in the video below.

First up, you'll need to create a service for your Labor charges under Services in your Inventory. This ensures you capture the time and effort dedicated to on-site or project-related labor and enables better transparency in billing with clients.

  • Select 'General Services'

  • Enter the Service information (you can also select the pricing structure - flat rate, percent of order, etc.)

  • Most vendors create a new Line Item Group called 'Services' in their projects to include all of the services for that project, but you could just as easily add a Labor Service in the same Line Item Group as a Tent to show both your team and your client what the labor is being used for

Step 2: Choose Between Hourly or Percentage-Based Fee Models

You have flexibility in how you structure your labor fees. Here are your options:

Option 1: Hourly-Based Fees

  • Usage: Ideal if your team works based on specific hourly durations

  • Setup:

    • Add an Hourly Rate to your fee structure

    • For projects requiring less than a full hour, consider charging a minimum flat fee for up to 1 hour to account for partial usage

Option 2: Percentage-Based Fees

  • Usage: Suitable for scenarios where fees need to scale with the scope of a project

  • Setup:

    • Calculate labor charges as a percentage of total service costs or other relevant project elements (e.g., tasks completed or overall budget)

Final Notes

  • Tailor your setup to reflect the time and effort involved in labor tasks

  • Use Goodshuffle's inventory and billing tools to transition smoothly between different fee structures when necessary

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