As a successful construction and contracting company, we know you depend on accurate job costing. Every estimate, project budget, and bid is built around understanding what it will truly cost to complete the work. Unfortunately, labor costs are often one of the least accurately measured parts of the equation. The good news? We can help fix that.

Many contractors calculate labor costs using gross wages and estimated payroll taxes. That approach leaves out significant employer expenses such as workers’ compensation, employee benefits, payroll taxes, and other employment-related costs. When those expenses are stored in different systems, or not tracked at all, contractors are forced to manually compile information or rely on educated guesses.

The HR Tree helps eliminate that uncertainty.

Fully Burdened Labor Costs—Down to the Penny

So, what does this actually look like? Our system brings together the employer costs associated with each employee, including:

• Gross wages and overtime
• Employer payroll taxes
• Workers’ compensation rates
• Employee benefits
• Other applicable employer costs and fees

By combining this information in one place, we can help contractors calculate a true, fully burdened labor cost down to the penny. You get a clearer understanding of what each project is actually costing the company and better projections for future jobs.

Accurate reporting =

• Improved job estimates
• Protected margins
• Early budget issue detection
• Informed decision-making for new projects

That all sounds like a no-brainer, right? So, how does it all come together? 

Connect Payroll With Your Project Management Software

It starts by having you stop entering the same information into multiple systems! The HR Tree team can integrate your payroll with compatible construction and project management platforms, allowing job, project, and payment information to flow into payroll more efficiently.

Instead of manually transferring hours, job codes, or project-related pay information, contractors can create a more connected process that reduces administrative work and improves reporting accuracy.

Control Labor Costs With Geofenced Timekeeping

We'll take it to the next level by using geofencing. Mobile timekeeping is essential for contractors with employees working across multiple locations. However, it can also create problems when employees clock in before arriving at the jobsite or remain clocked in after leaving.

Geofencing helps address this issue by establishing approved geographic boundaries around each jobsite. Employees can clock in and out from their mobile devices while the company gains better visibility into where time entries are being recorded.

This creates a more reliable timekeeping process while helping contractors reduce time theft, payroll corrections, and disputes over hours worked. You get true insight into the reality of your labor expenses, not just the projectionsasw3.

Give Field Leaders Better Tools

The last step to help your team improve costing: We'll give your team better tools. Superintendents and field managers should be focused on completing projects safely, efficiently, and on schedule—not shuffling paperwork.

The HR Tree gives authorized field personnel convenient access to tools for:

• Reviewing and approving employee time
• Managing employee workflows
• Distributing and collecting safety documentation
• Accessing company forms and process documents
• Completing employee-related tasks from the field

With the right systems in place, field leaders can spend less time tracking down documents and more time managing the work that drives the business forward.

Build a Stronger Foundation for Growth

Your construction company already manages enough complexity. Payroll, labor costing, timekeeping, and employee administration should not add unnecessary uncertainty.

The HR Tree helps contractors connect their workforce information, understand their true labor costs, and improve the processes that support every project.

When you know exactly what your labor costs, you can estimate more confidently, protect your margins, and build a healthier business. Let's get started today!