Calculate Your Utilization Rate
Use your direct project labor, without any benefit or fringe costs.
$
Determine your total payroll, excluding any amounts paid for incentives/bonuses. The amount should be base wages for all staff.
$
Divide your direct labor by your total payroll. The result is your utilization rate.
%
The overall median utilization rate from the 2008 PSMJ A/E Financial Performance Survey is 59.7%. How does your firm compare?
To learn more about typical utilization rates in the A/E industry and hundreds of other financial indicators, purchase the 2008 PSMJ A/E Financial Performance Survey.

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