Charging people at home for PC work.....

[GlenJohnson]

A lot of people call me at home to come over and work on there pc's. Got to the point where I started a home business with cards and small ads in local papers. I charge a very affordable $20 an hour because a lot of people are retirees on fixed incomes. Is that to cheap in todays market? I realize that the economy is for squat right now, but there are some places that charge $50 an hour for virus work, which a lot of time is what I'm doing. I don't have the overhead they do, since I go to the client, and don't have a store front to pay for. Thoughts?

http://www.linkedin.com/in/glenajohnson

http://www.johnsoncomputers.us

 

[Ray1127]

You still have costs to factor in. After paying for gas and wear and tear on your vehicle for getting to the client's how much of that 20 is left. Also don't forget you still have to pay income taxes. A frient of mine used to do the same thing and considered it tax-free income but some of the people that hired him tried to claim the expense on their taxes (how I have no clue) but it apparently caught the attention of someone at the IRS and he was fined for not reporting it. He told me it ended up costing him more than he made so he quit doing it. Just my .02 cents.

 

[SteveTheGeek]

You don't have a storefront to pay for, but you do have travel/car costs. I'd say that (in my very limited experience) yeah, you're on the low end of the spectrum. You might consider adding in a relatively small "travel charge" - maybe $10, which aside from just covering some chunk of your actual costs would also make the point that your housecalls are more effort for you and are worth more to the customer than making them visit your office.

 

[lgarner]

Along the same lines, instead of thinking "I don't have the overhead, and therefore should charge less", try "I provide greater convenience and service to the customer, and therefore can charge more".

As for writing off the service on their taxes, it's entirely possible that these customers worked from their homes.

 

[Stella740pl]

Even if they were looking for a job, they may be able to write off some of the job search expenses. Computer purchase/repair would qualify; even a new suit might.

 

[genomon]

Glen - I'm not sure what going rates are in your area but geez are you CHEAP (er, inexpensive)! Depending on how important the income is to your overall, I would think $25 or $30 per half hour would still be reasonable, especially for house calls. What does Geek Squad charge in your area for home service. Around here it's close to $90 per hour, with a minimum...

If quizzes are quizzical, what are tests?

 

[ll60630]

Some companies use a tiered approach. So if you want to charge the person less per hour you could start a monthly membership program. For instance, in order to get the $30 an hour rate, they might have to pay $40 a month.

You'd be surprised at what business that can get you. Advertising a $30/hour rate can really grab people's attention. Especially when Geek Squad is advertising $90.

Jeff
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[franklin97355]

ll60630, if he charges $30 an hour and I pay $40 a month can I get him to mow the lawn and wash the windows for 16 hours a year if my computer doesn't break?

The answer is "42"