Rank: New forum user
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I have been a Local Authority enforcement officer for the last 20 years, I have recently started on the self employed route and I am being reasonably successful in getting work through local authroities and individual private companies. I am not sure what other businesses charge or what the going rate for professional health and safety consultancy/advice is?
Is anyone aware of any surveys that might have been undertaken to find out what people are charging per hour or per day for local Authority or private work?
I am not really after individuals telling me what they charge but if they want to please send an email to my inbox rather than posting fees on the discussion forum.
Thank you
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Rank: Super forum user
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Try calling out a local tradesman to see what they charge for their services.
The last time I called a plumber out - maybe 4yrs ago (in the North East of the UK) I got charged £65/hr.
This will give you a ball park figure.
Another option. how much do you want to earn?
Assume full time consultancy work - approx 1880 working hours per year (very unlikely you will get 100% of your time paid for in consultancy work - more like 70-80%)
To earn £50k Gross, you would have to charge 50000/1880 = £26.59/hr or 50000/1316 [70% hrs] = £38/hr
Don't forget to factor in overheads - travelling, hotels etc.
For me, my salary is roughly (hr rate x 1880 x 0.74)
The 0.74, allows for 0.26 of my turnover going in various taxes etc, as a Ltd Company set up that I have.
I get paid 100% of my hours, as I work contract/freelance instead of a jobbing consultant. Better pay/more reliable pay. Better pay than a staff rate. No wasted time doing sales visits/promotion etc
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Rank: New forum user
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Thank you for your reply Ian, I had already used the calculation that you suggested but good to know thats how others work it out too although my experience so far is that the percentage of paid time is more like 50% due to time taken getting set up, creating websites, business set up etc.
Funnily enough I know a plumber who showed me a survey undertaken by the plumbers merchants 'Williams' this was very helpful for other plumbers to guage where they are on the scale of cheap and expensive which is what I am trying to achieve. Maybe this a survey that I could undertake if no one else has done it before. Members thoughts on this are encouraged.
Thank you for your input, hopefully there will be more to come.
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Rank: Forum user
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Rank: Super forum user
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A bit off topic, but my "tame plumber" who we are careful to treat as a minor god, tells me he often applies a 20% "a hole" tax to some folk's bills.
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Rank: Super forum user
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Lindley, the advice Ian gave you above ties in with my work. I am a sole-trader consultant, I don't sell anything and don't employ anyone else.
I'm quite happy just to work 3 days a week most of the time, currently with two main customers, and do the odd Friday morning where necessary.
I keep charges simple, mostly £35 an hour, with some discount for full days, and a bigger discount for main customer who employees me 2 days a week every week.
If round-trip travel is more than 30 miles my travelling time is included in any quote, at the same rate so that keeps things simple, I don't charge them for fuel.
I sometimes charge for work at home if I'm wring up long policies, audits or risk assessments, but not always.
John
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Rank: Super forum user
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Thats a very reasonable rate.
Your rate also depends on which industry you work in and location
For oil & gas, as a safety engineer - rates are at least 2 or 3 times that....
The general industrial/construction IOSH/NEBOSH type of safety is swamped with consultants - hence relatively much lower rates paid.
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Rank: Super forum user
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Yes I suppose they are reasonable, but they have secured long term work.
I do charge more per hr for new customer short visits (1-2 hours) which effectively take up half a day, e.g. one-off annual fire risk assessments, and which also need a bit of thought at home and writing up.
I'm over 60 and have a some pension income so I suppose I can afford to charge less than others :0)
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Rank: New forum user
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Thank you to everyone for your responses and your openness, including the private responses. Before using the forum I looked at lots of contractors websites and of course no one was quoting their hourly or daily rates. From a businesses point of view it can't be easy choosing a consultant without knowing their rates. The consultants register http://www.oshcr.org/ doesn't help in determining what consultants charge and this is what I would suggest businesses use when I am wearing my enforcement hat.
I have found that when setting up in business so little of your time is productive in terms of income as there are so many other things to do re tax, admin, bookkeeping, meetings, quotations etc. hence your hourly rate needs to reflect this time to be successful. This is what I was battling with because the rate I needed to earn seemed so high. After reading the document http://www.iosh.co.uk/en...sources/Salary%20surveys that 'SimpleSafety' suggested I have doubled my hourly rate due to recognition of my qualifications and experience and this has helped me to see my 'worth' . I hope this gets the subject out in the open a bit because professionals should have confidence in their knowledge and abilities and more importantly their worth. Ians comment reinforces this re £35.00 hr being very reasonable.
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Rank: Super forum user
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You only have to look at salaries paid for employed safety advisors/managers/consultants to help calculate what you should be charging.
A quick look at various recruitment agency websites/job adverts gives you that information. Then add in any industry weighting.
Just because you are self-employed is no reason to charge less.
Fair enough if you are semi-retired etc to be able to afford to work for less, but most of us still have kids & mortgages to pay for.
I'm very lucky I work in the oil sector/offshore so can charge a much better (higher) rate :-)
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Rank: New forum user
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Thanks Ian, I agree that being self employed doesn't mean that you charge less but you can't use advertised salaries to determine an hourly or daily self employed rate. Paid employment is completely different because you get paid for a set no. of hours per week plus your annual leave and bank holidays etc. I was trying to determine how to calculate hourly or daily rates to include the periods that you are not out there earning money and find out what the scale /range looks like. It seems that oil and gas is the industry to be in but if not it is important to identify your market. This has also been very time consuming.
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Rank: Super forum user
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Lindley, £35 per hour seems bargain basement to me. Compare this to the HSE FFI rate.
As an ex-EHO you must surely consider yourself at least half as good as a HSE Officer!
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Rank: Super forum user
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I don't enitirely agree about not using salaried jobs being a guide to how much to charge, as a self employed consultant.
The prvious 1880hrs per year comes from working 47 weeks per yr and 40hrs per week. So allowance for holidays and Bank Holidays is already factored into your sums.
You can't vary the hours per year by very much, unless you are going to work constant 12hr days etc.
So in effect, the only variable you have to your turnover (and hence salary) is the hourly rate you charge.
Quite obviously you need to keep admin/tax/sales hours down to a minimum as they reduce your earned hours. Hence why consultancy companies expect to see Uilisation Factors of at least 80%+ So if you want to earn £50k but your UF is only 50% (say 900hrs/yr), then quite obviously your hr/rate needs to be higher, to compensate for the non productive weeks etc.
For £50k over 900hrs = £55.55 per/hr for example (overheads not allowed for!!)
Sometimes for example, its worth turning down work which may be at a distant location or excessive hotel nights drive up your costs and make the job unprofitable (unless you can see another major item of work with the potential client - so treat the 1st job as a 'loss leader' to get a foot in the door)
For me freelance contracting and consultancy works best. No hours spent doing sales/generating proposals for no pay (recruitment agencies find me the work), my admin/tax etc takes me about 20minutes per week. Virtually paid for 100% of my hours worked - max UF = best salary.
There are 2 basic models to consultancy - 'jobbing consultancy- lots of relatively small jobs, constantly seeking new clients, quoting for work etc - usually relatively low pay rate per each job. But overall leads to an acceptable salary.
'High end consulting' usually in high hazard industries i.e. petro-chemical/oil & gas. Less numbers of individual jobs but much higher paid. Overall better off.
Google Technical Safety Engineer - Oil industry for typical contract rates etc.
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Rank: Super forum user
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Sorry, mixing up the OP with John W: It's been a long day (non-fee-earning, VAT and accounts day).
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Rank: Super forum user
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Also forgot, your rate needs to reflect business taxes as well, if you work via your own Ltd Company.
The figures I have produced are simply to determine your salary.
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Rank: Forum user
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I currently support a company on H&S and food hygiene part time along my day job.Its a small business with one large unit and 6 small units. I do this for £300 a month. I write all their policies etc, deal with external audits etc and I am also expected to visit at least two/three of their units a month to carry out inspections on procedures and staff behaviours etc.I also carry out all the PAT testing and maintenance of fire extinghishers for all the units as well .
I usually can fit all this in with weekends, annual leave and early mornings, which works out ok with my lifestyle.
I pay tax on that, plus I have expences such as my indemnity insurance and petrol which all comes out of that £300. I have been doing this for a while and I am reasonably happy with the arrangments, but I think he is getting a very good deal as well.
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Rank: Super forum user
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All good if you are happy with that arrangement. How many hours per month, approx is that?
Much more than 8-10hrs per month, I would say would be very cheap, considering the tax & overheads of say 20-25%.
Quite frankly no wonder h&s jobs are still advertised at 25-30k.
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Rank: Forum user
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More Like 30% Ian
Like I said I'm happy at the moment, but that may change in the future?
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Rank: Super forum user
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confined, £300 a month for all that work??
I do something similar for a road construction company (but not their FE and PAT testing). My £35 an hour, 1 day a week, works out at about £980 a month for them.
Probably 600 miles a month fuel expense, about £80, and a few hours at home doing reports no extra charge.
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Rank: Super forum user
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Each of us has an estimate of their own work value.
I certainly despair when people value their worth so low, for a so called professional career.
How many other professions would place such a low value on their work?
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Rank: Forum user
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As I said I am happy with the arrangement. I only work 3 to 4 hours at the most a month for that, and there is limited mileage as it's a local company . it fits around my life comfortable ,and it pays for our holiday every year....and it's not that difficult oh and he is a mate.
I have a full time job that pays the going rate for a chartered practitioner, so I'm comfortable with the arrangement .
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Rank: Super forum user
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Rank: Super forum user
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confined, £300 for 4 hours work... that's a rip off! :o))
As Ian says that's fair enough. For my road gangs' £980 a month I 'work' on sites just about 24 hours, 6 hours travelling, and add 6 hours on reports at home, I suppose I'm not charging for all the home work but I have charged when I've written RAMS for them.
I mentioned that I had a bit of a pension, well that takes care of my untaxed personal allowance so all my business income is taxed 28% (with NI). Haven't reached the higher tax band for some years. My expenses amount to about £2000 a year.
What you charge all comes down to what you can afford, and if you want to attract local customers. My low rates certainly clinched it with my main clients and no regrets there as it's a regular income for years.
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Rank: Forum user
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I do not rip people off!!!
I give him a excellent service he happy with. Please do not comment on topics when you don't know all the details of what I do and don't do for the client. I didn't go in to all the detail, of what I do for that for that price, that's between him and me.
You do and charge what you think is appropriate to your clients and I will do likewise, and try not to be so personal with your comments., this is suppose to be a professional site.
Have a good weekend
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Rank: Super forum user
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Hang on confined, I did put a smiley :o)) after my comment!
If you know internet-forum-netiquette you'd know that the smiley is to indicate a tongue-in-cheek comment - used to imply that the comment is humorously or not seriously intended, and it should not be taken at face value - but I apologise that offence was taken :o(
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Rank: Forum user
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Apologies John for my previous post. I didn't read your post in the context it was intended!
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Rank: Super forum user
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confined, that's good, thanks!
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Rank: Super forum user
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On a commercial point. Nothing is a rip off, if the buyer and seller agree that the price is fair.
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Rank: Super forum user
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Ian Bell wrote:On a commercial point. Nothing is a rip off, if the buyer and seller agree that the price is fair.
And £35 per hour is a reasonable rate if it guarantees 21 hours every week? :o)
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Rank: Super forum user
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Its a learning exercise reading all the comments noted herein and my only observation is that as long as the H&S profession charges low rates and does things for nothing/ next to nothing it will get nowhere and by charging low rates etc. it reinforces clients opinions of the function so we must ask why do pubs, solicitors, garages, dentists and all other business charges the same {or near enough] for the same service and work/act from that angle noting that the one massive negative that we have is that [in my personal opinion] the HSE do not back us up and the government mock the profession
Upon opening bids recently from a number of professions for some work the H&S bids were at least 20% lower on average than other areas yet they carried more responsibility etc. and they had more work to do along with an enforcer sat in the wings that other occupations did not have
I too am now semi retired but I have not dropped my rates and I would rather lose work than give things away but hey that's me
We should all be thinking about young people who have mortgages etc. and be trying to get better pay for them at least and I agree that its up to an individual what they charge its just that its puzzling that H&S pro's charges so differently yet plumbers etc. in a given area all seem to charge the same!!
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Rank: Super forum user
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I think there are numerous reasons why h&s people charge such varying rates.
1. The consultancy market is simply swamped with consultants - from 1-man self employed consultants, up to small to large size consultancies (5-100 consultants)
2. Qualifications required to trade as a consultant - are minimal/not required by law etc.
3. Relatively cheap set up costs, being a largely knowledge based job.
4. Some industries are relatively low paid, certainly at the 'tools' end e.g. construction
5. The range of skills/responsibilities required cover a vey wide range - from, if you like level 1 of checking fire extinguishers etc up to level 5 senior manager giving corporate information/guidance. For level 5 most senior level managers could probably do the job, having stategic management systems/PR skills being probably more important than technical skills.
Personally I prefer the safety engineering side of a career in h&s, where additional engineering/science qualifications are required. This permits access into the high hazard sector- nuclear, oil/gas/petro-chemical sectors, which means high rates are obtainable.
I do not work or trade in the mass market small workshop/factory client level as the rates payable are poor by comparison, although I could, if work ever dries up in my sector of interest.
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Rank: Super forum user
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Great stuff this
In my personal view the main reason that pay differs so much between H&S consultants is that all other professions and many trades apply cartel systems e.g. banks, plumbers, solicitors, doctors, mechanics, petrol and bear suppliers etc. all have the same prices/costs for a situation in a given area whereas H&S does not as H&S bods seem to go it alone
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Rank: Forum user
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I've always been of the understanding that to work out consultancy fees you take the salary you would get as a full time employee and times it by 3. One third is for the actual work you do, one third is for down time and time spent getting work and the final third is for admin, chasing payments, getting books in order, etc. I'm still relatively new to this, but I'm finding so far that this is pretty much about right.
There is some flexibility in this, for example I've got a client who is really straight forward admin wise and always pays on time without fail - so I charge them less. I've also got a new client who I've offered a discount to if they pay within 30 days (I think I'm probably going to start doing this going forward.
I charge £63 / hour, but this cover H&S, food safety and sometimes a bit of licensing too and includes hosting of anything I produce - reports, documents, etc. online for a set period (anything longer I charge extra for). At first I was a bit worried that I was too expensive as I wasn't really getting much work in, but now my name has got out there work is starting to roll in thick and fast, which is nice!!
Interestingly I did get an enquiry through about some work that I wasn't really keen on doing as it was in a bit of an awkward location and the work itself didn't really seem particularly interesting, I gave a quote that was quite a bit higher than what I normally charge... and I still got the work!!
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Rank: Super forum user
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I have come across similar situations - that sometimes charging too little raises eyebrows.
For general h&s consultancy, I certainly think circa £50-60/hr is perfectly reasonable if you have considerable experience and qualifications.
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Rank: Super forum user
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U should also take into consideration the risk that U carry as a part of any fees charged plus any 'none earnings' time and having different rates for different situations is not a bad way to go and look at a what hours a day is needed noting that the rates noted by Ian B in my view are realistic
I was approached only last week to work for a charity at £10.00 per hour and they were quite put out when I wanted to discuss money as they felt that as they were a charity then anybody working for them for payment should think like a charity but did admit that their accountant, solicitor, marketing manager and Chief Officers did not work for £10.00 per hour so it can be horses for courses
Best of luck
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