In order to recognize that labor costs and prices are included in an item's price there are special labour columns. This means you can include them in an item's default set-up. Alternatively, you can add labor as separate items.
These labour columns only exist in the Quote, Jobs and Invoice modules. To see them:
Click on the Cog at the top right
Select Quotation (or another tool) Settings
Click on 'Show/Hide Line Item Columns
Make sure that 'Labor Rates' is set to 'Show'
When you edit a quotation or invoice you will see these columns:
Labor Name - whatever you want to call the rate (optional)
Labor Hours - the expected hours to complete the task
Labor Charge Rate - the rate per hour you are charging the client
Labor Cost Rate - the cost rate per hour cost (to you)
The labor columns on jobs are slightly different and covered separately
The total labor price is then added to your sales price, so in this example, 2 hours x £35 per hour = £70. This is added to the initial price of £50 to give the final price of £120.
This is shown in the quote summary:
If you have 2x this item, the labor value will be increased 2x so the total price will be £240.
Giving this summary:
You can set up the default labor charges on the item edit screen and this will be automatically included on your quotes when you add the item:
Separate Labor Charges
You don't have to have labor directly against a product, but can set it up as its own item. This is useful where you want to clearly list the labor element of a quote. In this case, add a new item, with a meaningful name (in this case, 'Installation') and add the values to the labour rates but keep the price at 0.
When it is added to the quote it will look like this:
And the summary will still show the labor component correctly: