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Snow removal Billable Utilization: worked example

Measure the share of available time used for billable delivery.

Cobalt ribbon, chrome ring and orange sphere in architectural light
Snow removal / clearance visit economics
Answer

With the illustrative inputs below, the result is 68.75 %.

Try this with your own numbers

Formula and worked example

Utilization = billable hours / available hours × 100

Example figures
InputExample
Billable hours110
Available paid hours160
Calculated result68.75 %

Choose reliable inputs

Plan materials, travel and crew time before committing to a price. For this snow removal calculation, use a completed job sheet, supplier quotes and a crew schedule and a consistent definition of one clearance visit.

  • Fuel: include the portion belonging to this clearance visit or reporting period, and record where the value came from.
  • Standby time: include the portion belonging to this clearance visit or reporting period, and record where the value came from.
  • Equipment wear: include the portion belonging to this clearance visit or reporting period, and record where the value came from.

Use the same currency for every money input. Do not mix weekly costs with monthly revenue, or count the same expense in both an itemised cost and allocated overhead.

Does full utilization leave time for admin?

A target must allow necessary nonbillable work. Counting every paid hour as saleable often overstates capacity.

Use consistent periods and decide whether leave is excluded from available hours.

Compare a different assumption

What if this input changes?

If billable hours rises by 10%, this example changes by 6.875 %. This shows the effect of one change; it does not predict what will happen.

Open the calculator, save your baseline, then change the input supported by the least reliable estimate in your records. Compare both scenarios before committing to a price or capacity promise.

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