Debate: flat rate vs hourly pay for engine swaps

I did a head gasket job last week on a 2015 Ford F-150 in Phoenix. Took me 9 hours but the book says 6.5. Flat rate would have paid me $390 at $60 an hour, but I billed hourly and got $540. The customer was pissed about the extra time though. Some guys I know swear flat rate keeps you honest and fast, others say it just screws you when rust or hidden problems show up. Which side are you on for big jobs like engine or trans swaps? Has anyone here lost money on a flat rate job?

3 comments

3 Comments

vera_murphy22d ago

@xena_brown50 nailed it haha. My last flat rate trans swap paid me enough for a pizza, but I spent that pizza money on chiropractor visits from busting my back on that rust bucket lmao.

xena_brown5022d ago

Heard a master tech say flat rate on swaps is just gambling with your paycheck.

grace_knight7017d ago

Cracked a 5.4 Triton swap last spring that book said was 12 hours. Took me 17 because every bolt was basically welded on with Arizona crust. Flat rate would have paid me maybe a tank of gas and a bruised ego. Instead I billed hourly and the customer asked if I was rebuilding the engine one part at a time while charging him rent. Ended up buying him a beer to smooth things over, which basically erased my profit anyway. So either way I'm eating ramen for a week, but at least with hourly I get to eat it in my own garage instead of a cold one. You guys ever have a flat rate job go so bad you actually paid the customer to leave?