Package Price and Menu Jobs

There are times when it may be desirable to have a set price for an operation that includes the labor and all associated parts. R.O. Writer has two methods of dealing with fixed price jobs, both of which associate parts with a labor operation:

• Menu job - Available in both the standard and job-based views.
• Package Price - Available only in the job-based view.

Menu Jobs

Menu jobs

• Charge the entire cost in the labor operation and not the parts
• Tax the total job including all parts and labor
• Package pricing is often preferred over menu jobs

To Create a Menu Job

To create a menu job on an estimate or repair order:

• Select the Menu option on the labor operation.
  • If you know you are going to include parts in the labor operation, select the Taxable option on the labor operation to apply sales tax, which is applied to the total price of the menu job. Local and state laws determine if sales tax needs to be applied to the job.
  • Because parts are included, the labor's price is shown as taxable.
  • The Itemized Sales Report includes a separate section for Menu Sales.
• Select the Menu option for all parts included in the fixed price job. When these parts are added to the repair order, "Menu" is shown instead of a price. There is no charge listed for parts. The price for the labor is the total price for the job.

The total price for the menu job is based on the total of labor and the parts; nothing is adjusted automatically.

Package Price

Package Pricing works differently from menu jobs. The package price sets an overall cost for parts and labor but adjusts the labor charge so that the total cost of the parts and the labor equals the package price.

You do not set a total price for menu jobs; its total is determined by the cost of the labor and parts combined; nothing is adjusted automatically

Let’s say a package price of $75.00 is set for an operation, and include parts that total $9.25. The billable time is set at 1.0 hour with a labor rate of $65.00 per hour. The total will be $75.00, the parts will be $9.25, but the labor will be shown as $65.75. The billable time remains 1.0 hour. If the parts cost is increased to $12.00, the labor charge will decrease to $63.00, and the billable time remains 1.0 hour.