Date:         Sun, 16 Sep 2001 08:33:35 -0400
Reply-To:     Charles Patridge <Charles_S_Patridge@PRODIGY.NET>
Sender:       "SAS(r) Discussion" <SAS-L@LISTSERV.UGA.EDU>
From:         Charles Patridge <Charles_S_Patridge@PRODIGY.NET>
Subject:      Re: Slightly offtopic: SAS billing per hour
Comments: To: sas-l@BASSETTCONSULTING.COM

Dear Michael and Chris,

Thanks for forwarding this on to me.

Chris,

Here is a scenario which might express my opinion on what is a billable
hour.

1.  I call a plumber to my home to fix my furnace.  He arrives at 9:15 am
and starts work immediately on the problem.  At 9:50 am, he requests a cup
of coffee for which I happily serve him.  He sits down in the family room
sipping his coffee, politely says thank you and finishes his drink at 10:00
am.  He returns to work and finishes fixing my furnace at promptly 10:15 am.

His hourly rate is conveniently $60.00 per hour for which he writes out an
invoice totaling $60 for 1 hour's worth of work as my bill to be paid.  I
kindly write out a check for $50.00 and an invoice for $10.00 that covers
the cost of 1 cup of coffee which I remind him that he can use as a
deduction as part of his business expense.

You see, I am the client, and the plumber is a contractor working on my
premises.  I would expect to pay him for the time and parts to fix my
problem, not the time he decides to relax and sip a cup of coffee.

If he were my son (fulltime employee) fixing my furnace, then yes I would
expect I would have to pay him for the full hour, including the cup of
coffee as there will be times I would require him to work after hours when
the need arises - and I would express my appreciation but not necessarily
provide any overtime pay.

As a contractor, I bill my clients for the time I spend actually solving
their problems, not making phone calls, going to the bathroom, drinking a
coffee, or chatting at the copy machine, etc etc.

I hope you understand my opinion on this subject.  I have seen too many
contractors who bill for an 8 hour day but frequently chat, use the phone,
go to the bathroom for extended periods of time, take several coffee breaks,
etc and then expect to be paid for the 8 hrs.  It is not surprizing that
these contractor's contracts were not extended even though there was
sufficient work for them to do.

"Do unto others as you would have them do unto you" (my Golden Rule).

Regards,
Charles Patridge