How Much to Pay Per Square In Roofing?
Table of Contents
- Introduction
- Understanding Pay Per Square
- Calculating Fair Rates
- Factors That Affect Piece Rate
- Balancing Quality and Speed
- Tracking Piece Work Effectively
- Customizing Your Pay Structure
- Final Thoughts
1. Introduction
Paying roofing crews by the hour has been a common practice in many companies. While this system is simple, it can sometimes lead to slower job completion and less clarity on how much each project truly costs. One alternative is piece work—specifically, paying roofers per square of roofing installed. This approach can motivate teams to work more efficiently, since higher productivity translates into higher earnings.
Yet many roofing company owners and managers wonder how much they should pay per square. Set the rate too low, and workers feel underpaid. Set it too high, and you risk losing profit on your jobs. This article offers tips on how to arrive at a fair piece rate, what factors to keep in mind, and how to track everything accurately.
2. Understanding Pay Per Square
When roofers are paid per square, it means they earn a fixed amount for each “square” of roofing installed. A square is equal to 100 square feet of roof surface. This pay structure can help tie compensation directly to a worker’s output. If a crew member installs more squares in a day, they earn more.
Benefits of Paying Per Square
- Clear Goals: Workers know exactly how they get paid and can plan their workflow accordingly.
- Reduced Supervision: Because team members directly benefit from working faster, you might spend less time overseeing daily tasks.
- Easier Cost Predictions: It can be simpler to calculate labor expenses if you already know your per-square rate and the total squares a project requires.
Drawbacks to Consider
- Quality Concerns: If a person rushes to install as many squares as possible, they might overlook important installation details.
- Varying Skill Levels: A newer crew member might struggle to keep up with more experienced roofers and earn less.
- Complex Roofs: Some projects are not straightforward. Steep pitches, multiple dormers, and chimneys can make installation more challenging, which might require adjusting the standard rate.
3. Calculating Fair Rates
Arriving at a fair per-square rate starts with a clear picture of your crew’s typical speed and the labor budget for each job. Here are some steps to guide you:
Step 1: Look at Past Data
Review records from previous roofing jobs. Note the average squares installed per day, the size of the crews, and how long projects took. By comparing these numbers to your past labor costs, you can see what your team’s average hourly rate translated to on a per-square basis.
Step 2: Factor in Local Pay Standards
Pay scales can differ widely based on region. Talk to other roofing company owners in your area, if possible, or gather data on typical roofing wages. This ensures that your per-square rate remains competitive in the local labor market.
Step 3: Calculate a “Test” Rate
Let’s say your records show a typical roofing crew can install 10 squares in a day with a standard crew size. If you normally pay each worker $25 per hour and they each work an 8-hour day, your total daily labor might be $200 per worker (8 hours × $25). Multiply that by the number of people on the crew—if there are two workers, that’s $400 total. If they install 10 squares together, that might translate to $40 per square (i.e., $400 / 10 squares). This can give you a good place to start.
Step 4: Adjust for Project Specifics
Some roofs are more complex or have a steeper pitch, meaning the crew works more slowly. Others might be relatively straightforward. Use this insight to adjust your per-square rate higher or lower, depending on how challenging the project is likely to be.
For example, it’s common to have a tiered level piece rate per square depending on the pitch. For 2/12-6/12, the standard rate would apply. Then for 7/12-9/12 it would increase by 15-20%, and for 10/12+ it would increase by 40% to make up for the extra time it takes to work on these roofs.
4. Factors That Affect Piece Rate
Deciding how much to pay per square often involves weighing multiple variables:
Roof Complexity
A simple roof with straight lines and minimal structures—like dormers or chimneys—usually takes less time to roof than one with many peaks and valleys. More complexity may justify a higher per-square rate.
Alternatively you can pay a piece rate for some of the more detailed parts of the roof. Like flashing around skylights and chimneys, or installing vents. You can get as creative as you want with this, just remember the more complex you make the system the harder it will be to track. This is fairly simple to set up with a piece work tracker like Piece Work Pro, but if you’re tracking on paper or spreadsheets it could make things very complicated for you.
Material Choice
Different roofing materials can affect how quickly squares go on. Asphalt shingles, for example, are usually simpler to install than metal panels, so you will want to set different rates for different materials.
Crews’ Skill and Experience
If you have a well-trained crew that can install squares quickly and accurately, they will be able to make a great wage using piece work, and you’ll be able to control job costs. However if you introduce newer, less experienced workers to the crew it you may need to pay a little extra to make up for the time it takes them to train the new guy.
Additional Tasks
Certain tasks—such as repairing damaged trusses, moving a lot of personal items out of the way before the tear off, or fixing some siding that’s out of the normal scope of work—do not always fall neatly under “per square installation.” You can choose to pay those tasks either by the hour or at a separate piece rate. Make sure your crew knows which tasks are covered under the main pay rate and which might be paid differently. Then once you have it figured out, it’s all about holding your crews accountable and tracking it effectively.
5. Balancing Quality and Speed
Paying per square can inspire workers to move quickly, but what about quality? Ensuring a roof is installed correctly can matter more than finishing it in record time. With that in mind:
- Set Quality Standards: Let your crew know how you measure acceptable work. These might involve nail placement, shingle alignment, and correct overlap.
- Perform Spot Checks: Regularly inspect portions of the roof to ensure people aren’t cutting corners. If you find mistakes, build a rule that workers must fix them on their own time before the square counts as completed.
- Require Quality Inspections: You can add certain requirements that must be met before they ‘earn’ their piece work. This could be taking photos of completed work, or work in progress, or pictures of damaged plywood or other ‘extra work’ that they must show before they’ll make the piece rate.
- Offer Additional Incentives: You could reward crews that meet or exceed quality checks with a small bonus. This helps discourage rushing.
When your team realizes that finishing squares quickly but with poor craftsmanship won’t pass inspection, they’ll find the right balance between speed and careful work.
6. Tracking Piece Work Effectively
Accurate tracking is the backbone of any piece work system. If you fail to keep good records, you risk underpaying or overpaying your team, leading to disputes and lower trust. Using a tool like Piece Work Pro can help:
- Clock-In/Clock-Out: Workers can log their time easily on a mobile device. This is useful if you also pay an hourly rate for tasks not covered by piece work.
- Daily Piece Work Entry: Crew members enter how many squares they installed, and the software keeps a running total.
- Time Card Approvals: The system shows a daily or weekly overview of all entries so you can approve time cards with a click.
- Payroll Reports: At the end of the pay period, you get a quick breakdown of how much each person earned. This cuts down on calculation errors and helps you run payroll in about 15 minutes.
- Job Costing: Piece Work Pro also shows exactly how much labor is going into each job, which can inform future bids and help you refine your per-square rate over time.
If you prefer a different tool or method, make sure it can provide clear records of how many squares each crew member completed each day. This transparency is critical for both the company and the workers.
7. Customizing Your Pay Structure
One of the biggest advantages of a piece work system is the ability to customize it:
- Hourly-Only: If you prefer the simplicity of paying strictly by the hour, you can track total hours and offer occasional bonuses for meeting milestones.
- Piece Rate-Only: This method ties pay entirely to the number of squares installed. It offers strong incentives but may require more oversight to ensure quality.
- Combination Pay: Some owners pay a base hourly rate plus a smaller per-square bonus. This approach gives workers a guaranteed income while still motivating them to install more squares.
Using flexible software or a simple tracking sheet is key. You might even begin with a combination system. Over time, you can shift the balance between hourly and piece work, depending on what fits your team best. The main goal is to keep workers motivated while maintaining a reliable labor cost.
8. Final Thoughts
Figuring out how much to pay per square in roofing can make a real difference to your business. When rates are too low, you risk upsetting your team and losing experienced workers. If they’re too high, profit margins shrink quickly. Taking the time to research fair local wages, review your past performance data, and study each roofing project’s complexity can guide you toward a rate that benefits everyone.
Having accurate tracking and clear communication about expectations is essential. Whether you use a tool like Piece Work Pro or another system, keep daily records of squares completed and maintain quality checks. By blending a reasonable per-square rate with incentives for good craftsmanship, you can create a healthy, productive environment that keeps your clients happy and your crew motivated.
Over time, monitor your numbers and make adjustments as needed. No two roofing jobs are identical, and labor efficiency can vary from one project to another. As you gain experience with piece work, you’ll discover the ideal balance between hourly pay and per-square rates, helping your roofing company stay competitive and profitable for the long haul.