Timber floor sanding
Check the performance and input benchmarks for timber floor sanding businesses.
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Businesses in this industry
Businesses in this industry sand and polish timber floors. They may also repair sub-floors and damaged floors, replace floor boards, remove scratches, and stain and lime floors.
What are performance benchmarks
Performance benchmarks use information reported on tax returns for the 2020–21 financial year and are updated each year. This is the most current data.
The benchmarks show ranges of business income to business expenses. Use these benchmarks to compare your performance against similar businesses.
Key benchmark range
Total expenses to turnover is the key benchmark range for this industry. It is the most accurate when predicting business turnover.
You should fall within the key benchmark range for your annual turnover. If you fall outside the range for your industry, your business may have room to improve.
Check that you have reported all income and accounted for any trading stock used for private purposes. Some businesses can use accepted amounts as estimates for the value of trading stock used for private purposes.
2020–21 benchmarks
Key benchmarks for 2020–21
Annual turnover range
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$50,000 – $100,000
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$100,001 – $200,000
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More than $200,000
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'Total expenses' divided by 'Annual turnover'
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44% to 61%
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49% to 65%
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63% to 81%
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Average total expenses
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53%
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57%
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72%
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Other benchmarks
Not all expenses are reported by every business. Only use this information as a guide if it applies to your business.
Other benchmarks for 2020–21
Annual turnover range
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$50,000 – $100,000
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$100,001 – $200,000
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More than $200,000
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'Motor vehicle expenses' divided by 'Annual turnover'
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7% to 10%
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5% to 8%
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3% to 5%
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For benchmarks for previous years, see Small business benchmarksExternal Link.
Input benchmark – timber floor sanding
Use these benchmarks to calculate expected income based on the labour and materials used.
They apply to timber floor sanders who:
- work directly with household customers
- are responsible for purchasing their own materials.
We developed the benchmarks in consultation with the Australian Timber Flooring Association. They represent the industry norm.
Consider your own personal circumstances when using the benchmarks to assess your situation.
These benchmarks are current as at April 2015.
To give feedback on the usefulness of these input benchmarks, email us at BusinessSegmentPublishing@ato.gov.au.
Input benchmark guide
You can use this benchmark to compare and check your business performance to the floor sanding industry average.
All dollar amounts include GST. Prices charged and amount of preparation and number of coats required may vary between states and regions.
Input benchmarks for floor sanders
Coverage rate for sealer coat (square metres per litre)
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10 to 12
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Coverage rate for finish coat (square metres per litre)
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10 to 12
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Sealer coats per job
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1
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Finish coats per job
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2
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Average job size (square metres)
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80
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Days to complete average job (one tradesperson)
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5
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Days to complete average job (2 tradespeople)
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3
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Price charged per square metre
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$18 to $32
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Sales turnover
Use this benchmark to:
- estimate your income
- compare your income against the timber floor sanding industry average
- check that your records accurately reflect your income.
All dollar amounts include GST. Price charged and amount of preparation and number of coats required may vary between states and regions.
Sales turnover – income guide per tradesperson
Income guide – timber floor sanding
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One tradesperson
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2 tradespeople
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Litres of sealer used per year – one coat
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293
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486
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Litres of finish used per year – 2 coats
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586
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972
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Total square metres completed per year
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3,516
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5,832
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Price charged per square metre
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$18 to $32
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$18 to $32
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Sales turnover range
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$63,288 to $112,512
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$104,976 to $186,624
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Average job size (square metres)
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80
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80
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Jobs completed per year
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44
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73
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Days worked per year
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220
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220
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Timber floor sanding examples
This example shows a way to work out why your income is outside the benchmarks.
Example: Income less than expected
Andrew runs a flooring business and does mostly household jobs.
On average, Andrew charges $25 per square metre. He always uses a sealer coat before applying 2 coats of finish and has an average spread rate of 11 square metres per litre.
Andrew's records show that he purchased 300 litres of sealer during the year. Using the benchmarks, he estimates that he has completed 3,300 square metres with income of $82,500 for the year.
Andrew's records show that he has completed 2,800 square metres with income of $70,000 for the year. This is much less than he expected.
Andrew reviews his quote book and finds 5 jobs where he received cash payment and used the quote as a tax invoice. This is an additional 400 square metres and $10,000 in income.
Recalculating his figures, Andrew has completed 3,200 square metres and earned $80,000 for the year. This is within the benchmarks. Andrew contacts his bookkeeper for advice on how to keep better records.
End of exampleThis example shows how to work out if your income is within the benchmarks.
Example: Income within the benchmarks
Kim has a flooring business with one employee. He charges $32 per square metre. Using one coat of sealer and 2 coats of finish per job, he has an average spread rate of 10 square metres per litre.
Kim's records show that he has purchased 1,100 litres of finish during the year. Based on his business practice of applying 2 coats of finish per square metre, he uses the benchmarks to estimate that he has completed 5,500 square metres with income of $176,000.
Kim's records show income $173,000 for the year. This is within the benchmarks and accounts for work done for friends at a discounted rate. Kim is happy with his record keeping.
End of exampleInput benchmark – timber floor installation
Businesses in this industry install solid hardwood, floating and parquetry timber floors, and prepare sites for installing timber floors.
Use the benchmarks to calculate expected income based on the labour and materials used.
They apply to timber floor installers who:
- work directly with household customers
- are responsible for purchasing their own materials.
We developed the benchmarks with advice from the Australian Timber Flooring Association and trade participants. They represent the industry norm.
Consider your own personal circumstances when using the benchmarks to assess your situation.
These benchmarks are current as at April 2015.
To give feedback on the usefulness of these input benchmarks, email us at BusinessSegmentPublishing@ato.gov.au.
Input benchmark guide
Use this benchmark to compare and check your business performance against the timber flooring installation industry average.
All dollar amounts include GST. Prices charged may vary between states and regions.
The table below is not relevant to installers who do their own floor sanding.
Input benchmarks for timber floor installers
Coverage rate (square metres) for every 100 square metres of timber ordered, allowing for wastage
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90 to 95
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Cost of timber as a percentage of price charged to the customer to supply and install (varies depending on type/quality of timber installed)
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50 to 70
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Average job size (square metres)
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80
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Days to complete average job (2 tradespeople)
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4 (see note 1)
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Price charged per square metre – install only
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$23 to $40
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Price per square metre for supply and install (standard and top-grade timbers)
Tongue and groove
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$65 to $140
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Parquetry
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$100 to $180
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Plywood and particle board – sub-floor preparation included
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$35 to $50
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Note 1: Add half a day for installation of skirtings for rooms of 70 square metres or more.
Sales turnover
Use this benchmark to:
- estimate your income
- compare your income against the timber flooring industry average
- check that your records accurately reflect your income.
Remember:
- All dollar amounts include GST.
- Add extra day for installation of skirtings and plywood or particle board base.
- Refer to floor sanding and polishing benchmarks for sanding work.
- Most timber flooring work is usually completed by 2 person teams; you will need to adjust the rates to your specific situation if required.
Sales turnover – income guide for 2 tradespeople
Amount of timber flooring used per year (square metres)
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4,631 to 4,889
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Square metres installed per year
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4,400
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Price charged per square metre install only
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$23 to $40
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Price charged per square metre supply and install (mid-range)
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$100 to $140
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Sales turnover range install – labour only
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$101,200 to $176,000
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Sales turnover range including materials
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$145,200 to $242,000
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Sales turnover range including supply and install (mid-range)
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$440,000 to $616,000
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Average labour charge per day (per tradesperson 230 – 400)
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$460 to $800
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Average job size (square metres)
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80
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Jobs completed per year
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55
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Days to complete average job
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4
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Days worked per year
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220
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Timber floor installation examples
This example shows how to work out if your income is within the benchmarks.
Example: Income within the benchmarks
Rob runs a timber floor installation business and has one subcontractor working for him. They work on household jobs only.
Rob normally charges $110 per square metre for supply and installation of tongue and groove flooring. Rob reviews the statements from his supplier which show that he has purchased 4,700 square metres of flooring.
Allowing for 5% wastage, he determines that he installed 4,465 square metres of flooring. As his price per square metre and the amount of timber installed are consistent with the benchmarks, he uses the benchmark guide to calculate that his total sales should have been $491,150.
Rob's records show reported income of $490,000, which is within the benchmarks and close to his estimate. He is confident with his record keeping.
End of exampleThis example shows a way to work out why your income is outside the benchmarks.
Example: Income less than expected
Tony has a timber flooring business with one employee. His work is all installation only. Tony normally charges $32 per square metre and installs around 19 square metres per day. He earns $608 per day, which is close to the benchmark.
Checking his business records Tony finds he has recorded income of $98,500 for the year.
Using his benchmark earnings of $608 per day Tony estimates he would have worked 162 days to earn $98,500. However, Tony has had a busy year and is sure he worked more than that.
He reviews his quote books and finds 14 jobs where he was paid cash and he charged $34,500 for these jobs. With these additional jobs, he calculates that he worked for 218 days and he recalculates his income for the year at $133,000, which is consistent with the benchmarks.
Tony asks his bookkeeper for advice on keeping better records.
End of example