Yikes.  Where's my Tecate?  Need to wash Steve's post from my brain..

Jaime Solorza

On Feb 21, 2018 7:03 PM, "Steve Jones" <thatoneguyst...@gmail.com> wrote:

> whats your operator and equipment doing when hes not costing you? are you
> pimping him to the other boys on the street?
>
> On Wed, Feb 21, 2018 at 7:53 PM, Chuck McCown <ch...@wbmfg.com> wrote:
>
>> Lets say  you have an equipment operator that earns $20/hour.  I always
>> double that for loaded cost.
>> That operator can dig probably 50 foot/hour reliably.  So say 320
>> feet/day with start up and shut down inefficiencies.  8 x 40 = $320.  So
>> $1/foot just for the labor.  More if we pay for a health insurance plan.
>>
>> Then equipment allowance.  $100K used excavator.  10% time value of money
>> = $10K/year
>> Depreciation expense, say $20K/year.
>> So $30K/year.  If you kept it busy half the time, say 1000 hours, that is
>> $30/hour.
>> $240 per day.
>>
>> We are up to $560/day for 300 feet of ditch.  Round it up to $600 and you
>> have a minimum of $2/foot.
>> And knowing my estimates are generally off by half or 3x, perhaps $5/foot
>> is a good planning figure for the true cost of digging a ditch.
>>
>> *From:* Chuck McCown
>> *Sent:* Wednesday, February 21, 2018 6:33 PM
>> *To:* af@afmug.com
>> *Subject:* Excavation costs
>>
>> Anyone figured out what it costs them per foot for excavation using their
>> own machine?
>> I am working to figure out the real cost.
>> What does it cost to have a contractor do it?
>>
>
>

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