Discuss Increasing hourly rate after vat deregestration. in the Business Related area at ElectriciansForums.net
Think you would have to be a plumber/gasfitter up here to get away with £40/hr.We have to deal with Yorkshiremen don,t forget.£25 is way too cheap in my eyes.
Not sure on prices up north as I’m on the south coast, but I think you’d get away with at least £40 an hour up there? With extra for the first hour on top.
Because if you have to add on VAT... £25 + VAT = £30... so if your customer is not able to reclaim the VAT (as is likely the case for domestic customers)... they pay £30 not £25. So if you deregister for VAT, you could charge £30 per hour without the customer paying extra, but you'd be up by £5 per hour.Cant see relevance as to why deregistering should make any difference to your hourly rate!
So you are hoping to charge the extra you would have charged for the VAT but it ends up in your pocket not the vat mans?you could charge £30 per hour without the customer paying extra, but you'd be up by £5 per hour.
Think you would have to be a plumber/gasfitter up here to get away with £40/hr.We have to deal with Yorkshiremen don,t forget.
Regards,S
Was,nt increasing the rate by 20%,only 10%.Have found in the past on larger projects,the 20% vat on top makes the price uncompetetive.So you are hoping to charge the extra you would have charged for the VAT but it ends up in your pocket not the vat mans?
I cant see the justification of charging more due to de-registering at the expense of capitalising on domestic /non- vat customers!
Or join Mr Electric?Sif You are worried about raising your rates , you could try being a smarty and start charging 25£ per 40 minutes without increasing your price
Yeh, but you’ve got a new van to pay for.I charge £40 per hour
Upped it from £35 to £40 about 5 years ago and nobody batted an eyelid
Reply to Increasing hourly rate after vat deregestration. in the Business Related area at ElectriciansForums.net
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