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Updated over 5 years ago,

User Stats

603
Posts
130
Votes
Adam Craig
  • Investor
  • Cleveland, OH
130
Votes |
603
Posts

Am I paying my construction crew properly?

Adam Craig
  • Investor
  • Cleveland, OH
Posted

7 years ago when I started rehabbing homes I hired  GC's who subbed out a lot of the work and I paid a premium on my rehabs. Even doing this I still had to deal with all the headaches so I decided to cut out the GC and do it myself. Over the years I have learned a lot and the last 3 years I have been running my own crews - each week I have 4-8 guys working at 2-3 properties. I find these guys through Craigslist - I put an add in the job section and I have to dig through a lot of bad guys but eventually you find a good one. A few have been with me for 2+ years and some of the other positions are revolving doors but they always get filled.

Can you review what I pay these guys and let me know if its in line? I understand pay is regional...

  • I pay 2 of these guys weekly - one gets 1300/week and the other gets 1200/week. These guys are my horses. They work 40-50 hours a week and they can do everything from bathrooms to jacking up houses.
  • 3 guys get 18/hour. They do all my drywall and finishing/light framing & carpentry/painting.
  • 2 guys I pay 14/hour. They are the laborers that clean and demo
  • The rest of the guys I take bids from

I find issues with hourly and with bids but I have a good mix of both and for the most part number seem to work. I just find myself always pinching pennys and getting on certain guys about what they did to make sure my money is being put to good use. Sometimes I wonder if I am getting such good wages that I should back off a bit.

My guys are happy for the most part but I could use a lesson on hiring/managing/ and retaining employees. I want them to be incentivised to work and I want them to feel justified with pay.

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