Tile Layers - How They Charge

[Debbie Zimmer]

Hi Everyone,

I'm struggling here and need educated (I guess). When it comes to getting tile work done, why isn't the labor for that just calculated by an hourly rate like everything else?  Why isn't it as easy to pay someone $50-$60 / hr to lay tile?  Why do they 'charge' by the job and then inflate?  For instance:  our last project, the tile layer charged us $1,500 for a day's work for 2 guys to install our kitchen back splash.  When doing the math - that is $187.50/hr divided by 2 guys.  That's a pretty damn good day's pay.  Why do they feel the need to charge by 'job'.  I mean, at my day job, I make so much an hour - it doesn't matter if i'm working on a spreadsheet or changing the paper in the copy machine - i'm still making the same per hour.   I'm frustrated and confused as a rehabber trying to make money!

[JD Martin]

Well, a couple of things:

1. It doesn't work out to that hourly rate when everything is included. You probably included the tile, but you probably did not include: tile saw, nippers, scorer, spacers, trowels, levels, grout sponges, etc. You probably also did not provide health insurance, advertising, gasoline, and all the other overhead that goes with running any business, even one you are doing yourself.

2. Most people that don't know anything about jobs are uncomfortable paying by the hour, so the contractor has to figure out how much they think it will take, the costs involved, how much profit they want to make, and how much a reasonable competitor might charge, and then price the job accordingly. Most people are more comfortable knowing "This job will not cost me more than $X" than to leave that variable open. Then, if the job goes good, the contractor makes more profit, if it goes bad s/he is covered.

3. Whatever the local market is for tile laying is going to determine a lot of what price you get. If you've had it bid by several and got the same kind of prices, that's what your market is.

4. You're trying to make money, and so is the tile layer. 

Some jobs on rehab you will find are high cost, low skill, and if you have the time and inclination you can save a significant amount of money. Putting up a tile backsplash, assuming the tile is simple and the pattern is simple, is not difficult and I personally wouldn't pay that for a backsplash. Floor and bathtub tile is more involved and more opportunity for things to go wrong and I have paid that for tiling jobs in those areas, even though I have put down thousands of SF of tile in my life and have all the tools to do it.