ELECTRICIAN INDUSTRY BENCHMARKS

Knowing the electrician industry benchmarks helps you gauge your  business’s performance, identify growth opportunities, and make informed strategic decisions.

The main activities for businesses in this industry are installation, repair, maintenance, assembly, identification and design of electrical equipment and networks.

These benchmarks do not apply to auto electricians and air conditioning specialists.

Performance Benchmarks

These performance benchmarks are based on data from income tax and BAS statements filed with the Australian Tax Office.

The main expenses for electrical services businesses are the cost of materials and labour. The cost of materials and labour can vary depending on whether materials are supplied by the business for work undertaken. This is more common for electricians working on construction or building projects. The key benchmark ratio for this industry is total expenses to turnover. This ratio is likely to be the most accurate predictor of business turnover.

Key Benchmark Ratio	Annual Turnover Range
	Low $50,000 – $200,000	Medium $200,001 – $500,000	High More than $500,000
Income Tax Return
Cost Expenses/ Turnover	53% – 68%	64% – 77%	78% – 88%
Average total expenses	61%	71%	83%
Activity Statement
Non-capital purchases/ total sales	41% - 55%	46% - 57%	48% - 58%

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The benchmarks are published as a range representing ratios reported by businesses grouped either side of the average. Publishing benchmarks as a range allows for variations across financial years, regions and business models.

The following benchmarks are available as a guide for businesses to review their performance and business practices against other similar businesses. The following expenses are not reported by every business, so one or more of these benchmarks may not ap ply to an individual business.

		Benchmark Ratio	Annual Turnover Range
Income Tax Return	Low $50,000 – $200,000	Medium $200,001 – $500,000	High More than $500,000
Cost of Sales / Turnover	24% - 35%	30% - 38%	31% - 41%
Labour / Turnover	19% - 31%	18% - 28%	24% - 35%
Motor Vehicle expenses / turnover	6% - 9%	4% - 5%	2% - 4%