The Markup screen provides settings to enter and maintain markups to Sublet (outside labor) and the OEM Parts & Labor items found in the Estimator. This screen can display values as either Markup or Profit. By entering figures in the fields below it is possible to automatically mark up these items when applied to orders.
When cost for a Sublet item is entered in the order item entry – Sublet window, the sell price would be the same as the cost unless a value is entered here. In this example, a 25% markup on a Sublet where the shop was billed $100 for a service would appear on the resulting invoice as $125.
OEM Estimator parts can transfer either at face value or marked up based on settings created here. For parts, this markup increases the LIST price. For example, a $100 part with a 10% markup applied will transfer to an order with a $110.00 list price. It remains necessary to contact the dealer to confirm your actual part costs.
NOTE: If using an OE parts catalog such as repairlinkshop.com, those costs will instead be marked up by the Matrix just like aftermarket catalogs integrated to this program.
A 10% markup applied to Estimator labor times will result in 1.0 hr. being transferred to the Order or Revision screen as 1.1 hrs. The Labor Guide setting will also mark up any Maintenance scheduled Service labor transferred. The Sale Only / Sale & Tech Pay option determines if any labor markup applied is reflected on customer invoices ONLY or if it will also apply to the tech commission hours as well.
The purpose for the Shop & Miscellaneous Overhead fields is to factor in the additional expenses beyond actual material and labor costs. By including all of your business overhead, the true costs of keeping the doors open can be factored across the invoices created. The F12 Check Profit function becomes more reflective of the cost of doing business. The numbers that are entered here do not impact invoices, just the F12 pie chart figures.
Refer to your SETUP SE Workbook for some additional thoughts about markups and a discussion of Markup vs. Gross Profit.
To Enter/Edit Markup
Select Markup from the Standard Tables dialog box (a
selection from the Setup menu).
Select the appropriate option button to display
percentages as a MarkUp
over cost or as a percentage of the profit.
example, a part that costs $1.00 with a 100%
will be priced at $2.00 on the order. A
$1.00 part with a 50% Profit
will also be priced at $2.00 on the order.
Enter/edit data as necessary. The dialog box
following data fields:
Markup %- The
percentage, over/under cost, or profit percentage, that sublet
operations are priced at on the order.
Guide %- The
percentage, over/under Estimating Guide list price,that parts taken
from Estimating Guide will be priced at on the order. For example, a
part with an Estimating Guide price of $1.00 that is marked
up at 5% will be priced at $1.05 on the order.
Guide % - The
percentage, over/under Estimating Guide labor & time, that
operations taken from Estimating Guide will be entered
onto the order. For example, a labor operation with an Estimating Guide
value of one hour that is marked up at 5% will be entered as 1.05 hours
on the order.
Overhead % - The
percentage allocated for shop overhead of parts
and labor subtotal
(before taxes) for use in profit wizard analysis.
Miscellaneous Overhead % - The percentage allocated for
overhead of parts and labor subtotal (before taxes) for
in profit wizard analysis.
OK to save your entries and exit.