The most popular labor guides such as Alldata, Chilton and Mitchell’s purchase repair information from the manufacturers. The factory sets a time for every repair to the vehicle. They come up with most of these labor times by formulation not by actually dismantling the vehicle. This means that some labor times can vary from actual time, but the overall labor time is fairly accurate. The idea is that the more experienced the technician is, the faster the repair time. This is called the technicians efficiency rate and most shops like to see at least 130%, which means the technicians billable time net about 30% profitability. If the technician is given a job that is rated at 10 hours and does the job in 7, then he is available for more work that will overlap that 10 hours. This leads to profit because the technician will also work faster on the 7 hour job. Auto repair shops sell parts and time not repairs, which is why consumers have to be careful when analyzing estimates for repairs. An estimate for repair to your car has very few components, labor time, parts and sales tax. Other fees such as shop supplies, hazardous waste or any other fee is added by the shop to cover a specific cost the shop may incur while performing repairs to your car. These fees however are sometimes abused and are simply added profit.
Posts Tagged ‘auto’
Where do labor guides get their repair times?
Wednesday, September 9th, 2009Hey is it just me or did I really see………………
Tuesday, September 8th, 2009Maybe I am old fashion, but I think that auto repair should be auto repaired. So many times we take our cars to a repair shop only to hear, “We have to start with this and hope”, hope? Why not fix! With the level of computer intergration, most vehicles self diagnose. If a shops says this to you, look out wallet! They are telling you they are not sure whats wrong but if you don’t mind footing the bill, we can throw enough parts at the problem until it goes away. I know some problems are difficult to find, but dilligence can be a money saver. The key to getting a direct answer to “What’s wrong with it” is really a 3 pronged appraoch; 1) Technical knowledge 2) Tools 3) Technician. If you have these things going for you, there is a good chance you will only pay for the repair and not that shops training session on your car.
The real world of auto repair
Tuesday, September 8th, 2009In the real world of auto repair shops, the bottom line rules. As the economy has tightened up, many shop have found themselves struggling to make it. Some have turned to overcharging the customers they do get in just to make ends meet.
HAE does not recognize the reasoning of “anything goes, I have to stay in business.” The truth is that it is possible to stay open and NOT overcharge consumers. The key to it all is getting the word out that no matter how bad it gets you will not resort to “Ripping off” consumers. Association such as HAE, BBB and AAA can be valuable resourses for both consumers and repair shops. They can connect “Honest” shops with consumers who don’t mind paying “An honest days pay for an honest days work”. HAE offers shops the ability to connect with it’s consumer members only if they meet the standards set to protect the members. These shops must meet criteria including being subjected to “Mystery Shopper” estimates. HAE makes sure that shops treat every consumer with respect and honesty or HAE will make an example out of that shop.
HAE is considered by many to be the authority concerning auto repair rip offs. We spot them a mile away and expose them everyday to our consumer members so they are not taken. Shop who think “Profit above all” or “Do what ever it takes” will pay the price, but those shops that join HAE and GUARANTEE they will not overcharge will reap the rewards!
Effect of Cash for Clunkers on Auto repair shops
Thursday, August 20th, 2009The Cash for Clunkers program seemed to help the failing auto sales industry, but at what cost? Auto repair shops rely on older cars to survive. The honest repair shops make an honest living providing repair and services to consumers that allows them to keep their cars well after the payments stop. This is in line with what most economist would like to see American’s do, get out of debt! By repairing and servicing a car it can last for a long time and the overall cost of ownership is significantly cheaper than having car payments. The “Cash for Clunkers” program takes these cars off the road and replaces them with newer vehicles under warranty for repairs. This mean that the finance companies gain revenue, the dealership gains revenue, but the repair shops lose revenue. The normal rate for vehicle turn over is out the window now, causing a sudden impact on the repair shop industry. Under normal conditions people often by cars if their is no longer economically viable to repair and this turn over process take place over a period of time. What the Government has done is cause an instant change in the landscape that is affecting repair shops and eventually consumers. If repair shops no longer have cars to work on all at once they will go out of business, then when these “cash for Clunker” cars come out of warranty there will be far less repair shops around to provide service and repair. Adding the fact that these cars will all come out of warranty at about the same time, this will mean there will be a greater need than supply for auto repairs and service. The rule of supply and demand will kick in and people will be forced to pay a lot more to have these “Cash for Clunker” boomers worked on. Now, since the auto repair industry employs 3 times as many people as the manufacturing industry, the impact on the economy will be more dramatic than the sales industry. Maybe there would have been a more equitable solution that would not have an adverse affect on the repair industry. Perhaps a “Cash for Clunkers repair” program allowing people to have their vehicles repaired to bring up the fuel mileage.
A real testimonial to our mission!
Tuesday, June 16th, 2009– Jonathan – Sacramento, California –
Help is now FREE!
Monday, May 4th, 2009Honestautoestimates.com is now FREE to all auto repair consumers. Consumers can now join as a member and use all of our services for FREE. This makes HAE one of the most important consumer tools since the invention of the telephone. The problem of being overcharged is a $22 billion annual consumer nightmare, according to the U.S. Government. Now with a FREE HAE membership consumers are completely protected. We also allow auto repair shops that meet our strict criteria to join as a repair shop member and honor our estimates. HAE has a lot of great new consumer advocate tools coming very soon inlcuding a way to purchase auto insurance, auto parts, vehicles and even request consumer events for your area. We urge everyone that owns an automobile to join the fastest growing consumer movement in America, honestautoestimates.com and take advantage of the tools we provide for your protection.
Thank You First Coast News
Wednesday, May 28th, 2008We here at HonestAutoEstimates.com would like to thank Mr. Phil Amato, and the rest of the First Coast News team, for making our business your “Website of the Day“. We thought that your segment was very professional and portrayed our company in a positive light. It showed our dedication to saving consumers money and stopping the excessive overcharging by auto repair facilities.
Thank you again for the great coverage given to our company. The presentation was great, and Phil Amato did an outstanding job describing exactly what we do, and our mission to help the consumers. We greatly appreciate the opportunity to showcase our company on your station.
Thank You,
HonestAutoEstimates.com