Tractor costs per hour

[smcapstick]

You really need to work them out yourself. It's your tractor, you know the hours you do and you know the type of work.

We can only reliably quote our own costs. At best, we can speculate on yours.

 

[Norfolk Olly]

Sooooo many variables, costs will be higher if it's on heavy cultivations or road work to if it's pottering about on a fert spreader or trailed sprayer. Type of land is another massive factor, different horsepower bracket I know but there's many 300hp + tractors around this area that'll be £5/hr+ on tyres alone.

 

[Clive]

L

I keep seeing figures quoted for the cost of the driver. Would anyone care to say what their employed drivers are costing them? As I said, employed, not self employed.

Add together yearly wage inc overtime plus NI and employers paye contributiion, training costs, subscriptions to stuff like NROSO etc and employers liability insurance,

Divided by hours worked holiday taken etc

I bet it's close to a £20/hr cost even if a man is earning half that per hour spot ?

 

[FarmyStu]

L


Add together yearly wage inc overtime plus NI and employers paye contributiion, training costs, subscriptions to stuff like NROSO etc and employers liability insurance,

Divided by hours worked holiday taken etc

I bet it's close to a £20/hr cost even if a man is earning half that per hour spot ?

I agree. But judging by many of the posts on here in not sure many people realise this. It makes your 15 quid an hour self employed driver a bit of a bargain does it not?

 

[Spud]

I havent worked it out to any degree of accuracy, but the ni paye etc doesnt double the wage. nroso at £51 for 3 years doesnt add much to the hourly rate! Sure, it'll add 10%, but nothing like 100% Mebe ought to get the calculator out @Clive...............

Theres a place for employed and self employed. The nature of the beast dictates that self emp are good for specific/seasonal tasks, employed the only way if theres daily tasks to perform.

 

[Clive]

I havent worked it out to any degree of accuracy, but the ni paye etc doesnt double the wage. nroso at £51 for 3 years doesnt add much to the hourly rate! Sure, it'll add 10%, but nothing like 100% Mebe ought to get the calculator out @Clive...............

Theres a place for employed and self employed. The nature of the beast dictates that self emp are good for specific/seasonal tasks, employed the only way if there's daily tasks to perform.

I wasnt trying to nail an accurate figure but suggested it was probably nearer to £20 than £10/hr when everything is taken into account £10 /hr is clearly nothing like the REAL cost of employing a man

holiday and downtime are probably the biggest factors, days spend sending guys to show chasing those NORSO points etc all add up

 

[Clive]

I havent worked it out to any degree of accuracy, but the ni paye etc doesnt double the wage. nroso at £51 for 3 years doesnt add much to the hourly rate! Sure, it'll add 10%, but nothing like 100% Mebe ought to get the calculator out @Clive...............

Theres a place for employed and self employed. The nature of the beast dictates that self emp are good for specific/seasonal tasks, employed the only way if theres daily tasks to perform.

maybe try dividing total tractor hours completed by your fleet last year by total wages, PAYE, NI, training, insurance etc paid ? bet its a bigger number than you think ?

 

[FarmyStu]

maybe try dividing total tractor hours completed by your fleet last year by total wages, PAYE, NI, training, insurance etc paid ? bet its a bigger number than you think ?

As a sometime self employed man and tractor myself, the odd few hours I was payed whilst my tractor was not running made a big difference to my actual rate per tractor hour. The same must also apply to employed people who are do anything else other than earning the farm money?

 

[Spud]

maybe try dividing total tractor hours completed by your fleet last year by total wages, PAYE, NI, training, insurance etc paid ? bet its a bigger number than you think ?

Isn't that a bit hypothetical and pointless, staff here do a lot more than drive tractors! Hardly relative to the cost of running said tractors, but certainly a cost to the business nontheless.

 

[Spud]

I wasnt trying to nail an accurate figure but suggested it was probably nearer to £20 than £10/hr when everything is taken into account £10 /hr is clearly nothing like the REAL cost of employing a man

holiday and downtime are probably the biggest factors, days spend sending guys to show chasing those NORSO points etc all add up

Half day course once a year sorts the nroso, costs of farm related shows that the lads want to go to for themselves are borne by me, but their time there is covered by holiday entitlement (they rarely teke their full entitlement anyway) unless I specifically want them to go, in which case I pay them for the time.
Given you employ staff, and are a man in touch with his costs, how many % over their rate per hour do yours cost you? (% rather than £ is fine)

 

[Clive]

I pay a salary so my staff cost is fixed - the cost to me is significantly higher than they receive

I would say that overall they do cost me close to £20/hr when all tax, legislation, holiday, pension, houses etc and other benefits are taken into account

 

[Clive]

Isn't that a bit hypothetical and pointless, staff here do a lot more than drive tractors! Hardly relative to the cost of running said tractors, but certainly a cost to the business nontheless.

on an arable farm not much that generates income rather than cost happens that doesn't involve an engine hour

a man with a paintbrush in his hand is costing you money, a man with a steering wheel in his hand is making you money (hopefully !)

 

[e3120]

In my time in industry we were advised to use 2 x annual salary as the cost to 'keep' an employee. This had to cover everything from wages, sick/holiday/m(p)aterity pay, pension/NI right through to toilet facilities and my and HR's time to manage them.

 

[d williams]

I pay a salary so my staff cost is fixed - the cost to me is significantly higher than they receive

I would say that overall they do cost me close to £20/hr when all tax, legislation, holiday, pension, houses etc and other benefits are taken into account

Our employed men cost twice their hourly rate when everything was taken in to consideration
Holidays
Traveling
Ni
Sick pay and other costs training courses etc

 

[warksfarmer]

Reading this makes me pleased we only use self employed. Hired 240hp new tractor all in is £20/hr plus driver + fuel.

Contractors with 160hp tractors £18/hr plus driver + fuel. 250hp £20/hr plus driver + fuel.

Not the cheapest option but it's fixed and no variables involved except fuel fluctuations.

 

[Landrover]

Some intresting reading, but really my question should have maybe been how much the tractor has cost per hour when you come to change it ? Cost to change diveded by hours worked ? Anyone with an average ?

 

[D14]

Some intresting reading, but really my question should have maybe been how much the tractor has cost per hour when you come to change it ? Cost to change diveded by hours worked ? Anyone with an average ?

Contracting friends with a mixed fleet of about 20 tractors at any one time. Their aim is £6/hour total depreciation cost and they run them to 7500hrs on warranties. The main ones are changed every 4 yrs when the warranty ends. At the moment both fendt and Jd are about right apparently.

 

[Zan]

£6 is cheap I'd say, but the boys that are doing big hours will be better off, I changed the last one and it had cost me around £10 per hour 2500 hours over 5 years. I'm happy at that and don't think I could get a deal like that again.