What are the incentives for an employee mechanic

Thought about it a few times. For me the extra $90/hr or so wasn't worth it. I'd have to deal with payments on a $220k service truck and the expenses associated with that, fork out about $20k in additional large tooling, crane rigging etc, pay personal AND business taxes, worker's comp, insurance, etc. Plus being Canadian I'd have to pay the employer portion of EI/CPP as well. Then there's the time spent doing invoicing, no OT pay after 8 hours and any screwups would come right out of my pocket.

I'm quite happy to clock in at 8 and walk out the door at 5 and not have to think about work until 8 the next morning.

 

Employee gets time and half for overtime, if hurt on the job workers' comp. Contractor gets neither and also has to pay both the employer and employee FICA which is 7.65% for each. Contractor does not get benefits such as health insurance if available, paid holidays or vacation.

 

Don't get me wrong, I have friends and family that went self employed as mechanics with their own trucks and they're doing quite well. Its taken a bit for me to realize that it isn't quite for me. At least not at this stage of my life.

 

Getting with the right employer that will really take care of you because you know what you’re doing can take some time. If you plan on having a family or have a life outside of work, going home and forgetting everything is a nice perk.

I would either stay employee or go full In for myself. The later takes way more work, but you’re in control.

Someone else is always getting a piece of the pie with contract. Usually it’s a big piece.

 

you would be in the same boat when the place locks the gates...except your stuff, worth thousands of dollars is locked up as well, and you ain't gonna get your stuff for a long time.

best to just go to an independant shop. or open up your own.

at the time, long before i started driving, i was a wrencher as well, but for cars. to open my own shop, equipped the way i wanted it..??

about $200,000

i can only imaging the costs nowadays.

 

Just off the top of my head. You would have no benefits,pay your own taxes and workers comp.
Maybe @Big Road Skateboard share a little knowledge on the back end costs.

 

The costs are scary. When we downsized I leased our shop to my mechanic and his son. We had to have an appraisal for the insurance company and his bank.. There were separate appraisals for the building and its contents. I'll retain ownership of the shop and the yard. The mechanic will buy the contents of the shop and outside service equipment including a service truck.
A four bay shop, grease pit, tire bay, parts storage, office, outside storage apron, and a rain shelter on three sides came to just over two million five.
The company-owned heavy tools, parts, lubricants, chain hoists, lathes, drill presses, brake press, metal cutting devices, forklift and spare parts came to just over one million even. That's not counting the mechanic's hand tools.
He's been the mechanic here for over thirty years and his kid has been here for ten. He has a good local rep and I think he'll do fine. If not, there's no shortage of dreamers who think having a shop is a license to make money. Anyone who doubts the prices I've listed needs to spend some time in the office tracking expenses.