Not all plumbers are created equal. And looking through the search results of local plumbers in your area can leave you with more questions than answers. Like, why are the rates so varied among companies in the same city? We will give you an inside look at how the plumbing industry works and what you can expect from your next plumbing service appointment.
How Do Plumbers Get Paid?
Plumbers have a reputation similar to used car salesmen; sleazy, only with more visible butt crack. But if you know what type of plumber you are dealing with, you’ll be better prepared to make the best choice for you and your wallet!
There are two common ways of getting paid in the plumbing world. Each with their own pros and cons.
Hourly Rate
This type of plumbing service is upfront about pricing when you call. Quite often you are presented with an hourly rate and a service fee. The service fee covers travel costs to your place and sometimes the first few minutes of the repairs. After the plumber has seen exactly what your issue is, a rough time estimate is usually given. These plumbers are typically paid an hourly rate.
Let’s say that a plumber’s rate is $100 per hour for easy numbers. The plumber will get a portion of that rate, $40 for our example and the remaining $60 will go back to the company that employs said plumber. That $60 goes to pay the wages of the office workers, licensing and permitting fees, advertising, vehicle maintenance, and to keep the lights in their office.
Pros
Transparent and upfront rates. There should be no surprise when it comes time to write up the bill. Plus, no sales pressure. You don’t have to worry about the plumber trying to push a brand new facet on you when the old one works just fine.
Cons
Sometimes your bill can depend on the work ethic of the plumber who shows up at your door. Your bill could be significantly less if a skilled journeyman is on the job versus an apprentice that has just started their plumbing career.
Save money by making sure the hourly rate is the same no matter what time of day it is. Beware of the time of your appointment and make sure it doesn’t land in an overtime or after-hours window.
Beware of surprise fees like service and disposal charges. Some companies claim that their plumbing services at an hourly rate of $100 per hour but that doesn’t include a $50 service fee or $20 disposal fee to take away your old plumbing fixtures.
Also, if the repairs are minor you may be over-paying with a flat rate. Especially if you are billed in 30-minute increments. A 10-minute fix may cost you a full 30 minutes of labour.
And lastly, beware of return trips if necessary. You may be charged with an additional service or dispatch fee for every time a plumber knocks at your door.
Quoted Price
These plumbers typically arrive for a free estimate for the work required in your home. After you are given a quote the plumber is typically hired on the spot because they are conveniently in your house ready to work. This form of plumbing service commonly pays their plumbers by sales commissions or on a per repair basis.
Pros
You know exactly what the bill is. When all is said and done there should be no sticker shock when it comes time to settle up. Because their pay is based on a portion of their plumbing services offered, you can rest assured that your plumber is highly skilled and efficient.
This plumber would starve to death if they didn’t specialize in what they were doing. For one plumber it’s drain cleaning, the other it’s hot water tanks, and another may specialize in boilers. Either way, you should be getting a serious craftsman.
Cons
The biggest drawback of this style of plumbing service is you may be preyed upon depending on the urgency of your situation. If you are desperate for help with a broken pipe flooding your home, it could lead to paying much more than what the repairs are worth. This type of plumber knows you will say “yes” no matter the price if they feel you are at their mercy.
If the situation allows, you should take the time to haggle on the price. Or at least get a second opinion. Most of these companies offer free estimates just to get their boots inside your door. So don’t be afraid to say “no thanks” and watch the price drop!
Another con is that you could be getting sold something you don’t need. A “special” price on a faucet install for this week only? Yeah right! Don’t be fooled by some of these sales techniques. The plumber will get a commission for every new toilet, hot water tank, or facet they sell. So beware of the add-ons!
Moonlighting – The Other Option
This is the last resort for some but the first for many others. “I know a guy” is how it usually starts. A friend of a friend knows a plumber that can stop by your place one evening or weekend and “hook you up”. Sounds great, right?
Pros
The two best reasons for this plumbing service is cost and the peace of mind that comes with a personal referral. Quite often a plumber that is moonlighting or doing a side-job will cut you a deal. There is no company overhead or extras to cover so the price you pay goes directly into the plumber’s wallet. You could save upwards of 50% off a typical hourly rate!
You can also rest assured that this plumber is reliable if one of your friends or family members has pre-vetted them and vouches for their work. One of the biggest stresses in hiring a plumber is not knowing the stranger that shows up at your door.
Cons
You may be getting a bargain on the price but that may come at the expense of warranty and insurance. Most plumbers working after hours are not going to offer the same comprehensive warranty that larger companies do.
If your brand new faucet that was just installed turns out to be a dud, you might be on the hook for that. This will result in you making the phone calls with the manufacturer to get parts and pieces covered under warranty.
Scheduling may also be an issue. If there is only a verbal agreement to come by and fix your plumbing, there is no recourse for missed appointments or continually having to reschedule. You are at the mercy of the plumber’s availability and sometimes that may not sync up with your preferred timeframe.
Also, more often than not, this type of plumber is not insured. Especially if the cost of the hourly rate is too good to be true, it probably is. This plumber does not have the expense of liability insurance to pay so there is no need to charge you extra.
Most of the time you will never have an issue, but if there are workmanship errors resulting in damage to your home, you will probably be covering the cost.
The worst-case scenario is the plumber gets hurt while working in your house leaving you liable to cover medical bills or even facing a lawsuit. Everywhere has different rules and regulations surrounding this issue so check with your local authorities holding jurisdiction just to be safe.
Final Thoughts
Whatever plumbing service type you choose, make sure you are prepared to deal with potential disadvantages. If you are a fairly confident DIY’er maybe a moonlighting plumber is the option for you. Not very confident with tools or perhaps it’s a rental property, maybe you should stick to someone licensed, bonded, and with a warranty.
When in doubt, ask for references or see if the plumber has a good-standing reputation online. You’d be surprised what a quick Google search will find. And don’t hesitate to check a resource like HomeAdvisor to get an average price for your plumbing job.
Now you have some insider knowledge on how the plumbing service industry works. With this insight, you can make a better and more informed decision when hiring your next plumber.
Happy Plumbing!
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