Whats the going rate for a handyman?

[Raddles]

Hi all

I note that we have had to give our property manager in Canberra the flick and have some jobs that are required to be done by a handyman.

As we have a reasonable relationship with our tenant, we have suggested their teenage son might like to earn some money by undertaking some of that work.

The question is what to pay? - it is mainly revarnishing timber doors and external timber shelves. Any ideas what the going rate should be?

thanks

 

[lizzie]

mine charge around $45/hr in newcastle

 

[empire]

Hi

Our handyman that works for my company charges out at $38 per hour plus GST.

Hope this helps.

 

[jasper]

I pay $44 p/h inc GST in Melbourne

 

[battle on]

This is always a tough one Raddles, a young teenager, no overheads ie insurance, business expenses etc and not a lot of experience. I think $20-25 per hour cash would be fair but is it worth it if he hurts himself in some way?

What reprocussions could there be on you if he fell off the step ladder painting? Sometimes better to pay the extra for peace of mind.

 

[DavidMc]

I pay $33 + GST per hour.

 

[Raddles]

Hi there
thanks for the comments - no step ladders involved battle on - so don't anticipate that as an issue. His father has offered to supervise him - so hopefully a reasonable job will be done. Just trying to get things moving as we know it can be very difficult to get tradies to such small jobs.
thanks

 

[Ridin-High]

I believe their are a few companys that specialise in this type of service

eg. Hire a hubby.

Google it you can do abit of a comparison.

We had one @ home come around and hang up a few pictures, install some locks, do some modifying to a wooden TV unit to have cords go through it. Can't remember the cost as mum paid

 

[battle on]

And forgot to mention no tax invoice, so no tax deduction for the labour content..

 

[Raddles]

Hi there battle on
not quite sure that a tax invoice is relevant to claiming expenses against a property - it has more to do with claiming the gst - many of these smaller operations may not be over the threshold and may not have to register for the gst
thanks

 

[battle on]

But surely they have an ABN and submit a BAS.. I cant see how a teenager can give you an appropriate invoice for the labour performed??

 

[Raddles]

Hi there
not everyone has an ABN or submits a BAS - most obviously do
we don't have an ABN for the property side of what we do - and don't have to request a tax invoice - because we are not going to be separately dealing with the gst
- if we have a memorandum of work that has been done on a property with invoices for paint etc - don't see why we shouldn't be able to claim our expenses
I note that the ATO does accept diary entries as evidence of work expenses - so should accept a record of what was done to the property.
thanks

 

[battle on]

But if your supplier of that service does not supply an ABN as in a teenager performing labour whould you not have to with hold 46.5% tax?

 

[Raddles]

Hi there
if neither party is registered for the gst - don't see how you are obliged to withhold tax
thanks

 

[battle on]

Ok just had a look on the ATO and found this

"22. My supplier claims that they are not carrying on an enterprise, and do not need an ABN. Do I have to withhold from payments to them?
A: You do not have to withhold from a supplier who is not carrying on an enterprise. The definition of enterprise is very broad and most activities that are not private or domestic or private recreational pursuits or hobbies would be enterprises. However, some activities may not be considered to be an enterprise and the operator would not be entitled to an ABN. Such activities are usually quite small and may be operated from home.

In these cases, the supplier should provide you with a copy of a notice from the Registrar of the Business Register, currently the Commissioner of Taxation, stating that their activities are not considered to be an enterprise.

You should keep a copy of this notice with your transaction records so you can show why you did not withhold."


I am guessing this would apply in your case as he is not operating a business much like a housekeeper or baby sitter. And I thought the ABN,GST,BAS and all these other abbrieviations they brought in were supposed to stop all the cash in hand stuff.

 

[Raddles]

thanks battle on
you were obviously interested in this issue if you have gone to all this trouble checking the ATO website etc

yes - the cash in hand stuff still happens - but we also have a motive in helping the young chap out - he happens to be a very good bike rider - has already been to world championships etc - and a bit of extra pocket money is always helpful
thanks

 

[battle on]

Yes Raddles I certainly wouldn't be-grudge anyone making some extra money but I didn't realise this was possible with a rental property.

Now where is that thread "What did you learn today"

 

[40wrixon]

Handyman

Hi
If you need handyman services in Canberra again, try Herb Taylor (0262545139) Very experienced and a very good rate!

 

[Minx]

Wow, I can't believe how expensive some handymen charge themselves out as.

Just out of curiosity for comparasion, what have people paid for a qualified carpenter?

 

[craigb]

I would sugest paying for the jobs on the list, not per hour,but as one lump sum, because some are realy not educated in some feilds, and very S-L-O-W, in more that one way?
Be sure any licenced work is done by the licenced tradesman, because one i know illegally does electrical work, and charges for electrician prices, so be care full?