Rental Equipment 101 | A Contractor's Guide To Understanding Costs And Charges

As a general contractor, you never know what type of job is going to call on you next. Whether it is demolition, landscaping, or some type of construction, there are always going to be a few tools that you will need to complete the job. It may be your dream to own every tool that would be needed for every task, but it is highly unlikely that this will ever be the case. Thankfully, contractor equipment rental makes it easy for you to get what you need to complete your required tasks as efficiently as possible.

If you have never rented a piece of equipment before, it is likely that you have several questions concerning costs associated with this convenient service. Here are a few of the most common questions and the answers you will definitely want know.

How will you be charged for the piece of equipment that is rented?

Most equipment rental companies will rent an item to your either by the hour, day, or week. However, some larger pieces of equipment may have the rental measured by usage hours, which is counted by a device on the machine itself. For example, a stump grinder usually has a meter that shows how many hours it has been in operation and the rental company will charge you a set rate for one usage hour, plus any applicable fees and taxes.

Will insurance be included in the costs of rental?

Insurance on the equipment that is rented may not always be an optional thing, but if you are not allowed to opt out of this coverage, the fee is often figured in with the overall price. It is always best to go ahead and accept insurance even if it is optional just in case something goes wrong on the job.

Is what you pay for rental equipment through the year tax deductible?

The costs that you pay for rental equipment may be considered business expenses, especially when your main profession is as a general contractor. It is best to hang onto your receipts after you rent equipment and use them when tax filing time does roll around.

The tools in a contractor's tool box or truck say a lot about what they can accomplish on the job. Make sure you can accomplish anything with the right tool, even if you cannot invest a lot of money. Contact a contractor equipment rental company such as All-Star Equipment for more information about any questions and concerns you have.