Which of the following is typically a variable cost for a landscaping job?

• A. Monthly Rent
• B. Employee Wages Tied To Hours Worked
• C. Insurance Premiums
• D. Property Taxes

Answer: (B)

Variable costs change with how much work you do. In a landscaping job, the amount paid in wages depends on how many hours your crew actually works, so labor costs rise or fall with the job’s scope and duration. That makes wages tied to hours worked a variable cost. Monthly rent, insurance premiums, and property taxes are typically fixed costs, since they don’t fluctuate with the number of hours you work on a particular job. Understanding this helps you predict how labor will impact total job costs as the amount of work changes.