10 Tips To Creating a Winter-Proof Snow Removal Budget

Planning your snow removal budget for the winter can be tricky. 

You want to make sure your contract covers all your winter needs. But what are your winter needs? And the big question: how much to budget for snow removal?

The goal: to protect everyone who spends time on your commercial property and minimize your organization’s chance of being exposed to snow and ice-related hazards such as slips, falls, traffic accidents, and property damage.

How to create a winter-proof snow removal budget? Opt for a seasonal contract. Or choose a time and materials contract with a readiness fee. Save money by limiting access. Understand that waiting until after a storm to hire snow removal won’t save you money. 

Joey Schneider, regional manager at Level Green Landscaping, offers some helpful tips, including:

Why snow removal budgeting can be tricky
Use your math
Opt for a seasonal contract
Choose a time and materials contract with a readiness fee
Save money by limiting access
Don’t just guess
Why waiting doesn’t save money
Pre-treating won’t cost you more
Extra money? Save it for next year 
The value of great vendor communication 
Use a single provider for your property’s needs 

Why Snow Removal Budgeting Can Be Tricky

First things first. How much does it usually snow around here? The average snowfall is 19 inches, Schneider says.

“That being said, we almost never get 19 inches,” he says. “We either get 30 to 40 inches, or none.
“We usually get a heavy snow year, followed by a couple low snow years.”

So…

Tip No. 1: Use Your Math for Snow Removal Costs

“We recommend planning for five snow events a season,” Schneider says. “Find out what the cost for a 4-inch snow event would be and multiply that by five.

“If it costs $1,000 to clear your property for a 4-inch event, your snow removal budget should be about $5,000.”

Tip No. 2: Better Yet, Opt for a Seasonal Contract

A seasonal contract for snow removal makes your life easier, eases your budget worries, and ensures your commercial property gets safe and dependable snow and ice management.

How much does snow removal cost? You’ll always know. Customers with a seasonal contract for snow removal pay a set amount for snow and ice services for the season — no matter how much snow falls or how many visits to their property are needed.

Prices are set based on snowfall data averages taken over years. Some years bring a lot of snow, other years hardly any. 

If you sign a five-year contract, those low snow years and high snow years even out over the span of the contract.

Contracts include a provision that would reimburse a customer a percentage of the cost if it’s a year with very little snow.

Let’s face it, the typical time and materials snow and ice management contract you’re likely using is pretty stressful on your snow removal budgeting. It’s really tough predicting snowfall around here.

A seasonal snow removal contract takes away the stress and uncertainty by locking in a fair price, based on snowfall data averages taken over years. 

When we get a lot of snow, your snow removal budget won’t suddenly triple. You know exactly how much you’ll pay.

A five-year contract also protects you from rising prices each year. Inflation is another big budget buster, especially lately. 

Still pondering whether a seasonal contract is right for you?

Check out these other snow removal budgeting tips: 

Tip #3: Time and Materials with Readiness Fee

This is an updated version of the time and materials contract you’re probably used to, adding a “readiness fee” to your contract that saves you money in the long run. 

It means you pay a bit of your commercial snow removal cost up front, to help cover the many costs Level Green has to get ready for the snow season, from equipment maintenance to crew training to buying ice melt materials.

We estimate your total cost for the season, based on past years, and you pay a small amount of that up front, by December 1st. 

In return, we reduce your hourly and materials costs for the season by a significant percent, which gives you a break on the cost. 

Tip No. 4: Save Money By Limiting Access

Some customers decide to rope off part of their parking lot or close several building entrances to save money on snow removal costs, Schneider says.

“You can decide to only have a couple main entrances cleared and the fire escapes,” he says. “People will just have to walk a little farther.”

If there are areas on your property that get less use, you may decide you don’t need to prioritize them for snow removal. 

Tip No. 5:  Snow Removal Budgeting: Don’t Just Guess

“Sometimes people just make up a number for their snow removal budget, as opposed to making an educated guess,” Schneider says.

There’s a better way. Ask us.

“We can look at the amount we billed you for a couple events from past years to help you with the numbers,” Schneider says. “We can tell you what you paid for a 2-inch event, a 4-inch event and an 8-inch event.”

Not sure how much your snow removal budget should be?
“We have formulas and spreadsheets that take your property’s square footage and it shoots out a number,” he says. “Then we use our expertise to help you figure out a budget and a plan.

“You might be over budget one year and under budget the next,” Schneider says. “But over three years it usually evens out.”

How much does snow removal typically cost? 

Cost can vary greatly, based on the property size, the complexity of the job and how much snow falls, which varies year to year. While a small property may cost $5,000 per season, a very large property could cost  $100,000 or more. 

That’s why a seasonal snow removal contract is so valuable — you know exactly how much you’ll spend.  

Tip No. 6: Waiting Doesn’t Save Money

“A lot of people say, ‘We’ll hold off until the end of the storm, and have you come out after it’s all over, when we have four or five inches,’” Schneider says.  “They think that will save money.”

Bad move.

“That actually ends up costing you more,” he says. “If you wait until after there’s more than two inches, it’s not fresh snow anymore. It’s hard and compacted. Snow is cleared faster and with less labor if we come out earlier.”

Tip No. 7: Pre-Treating Won’t Necessarily Cost You More

Concerned that pre-treating your property before a storm will increase your snow removal cost? 

Not necessarily, Schneider says.

“If we pre-treat with brine, that helps us clear your snow faster,” he says. “There won't be a big difference in your budget. You’re just putting your chemical costs on the front end instead of after the fact.”

In some cases, he says, pre-treating means crews won’t need to plow at all. 

Tip No. 8: Extra Snow Removal Budget Money? Save It

So, you budgeted for a typical snow year — but it didn't snow. Woo hoo! It’s tempting to ponder all the uses for that extra money.

Not so fast, Schneider says.

“We recommend that you not spend that money on something else,” he says. “Put it in reserve for next year’s snow budget.”

Next year could be a doozy.

Tip No. 9: Expect Great Communication From Your Snow Removal Vendor

Good communication is crucial, from the snow removal budgeting process right through to the winter storms. 

“We start talking to our snow removal clients before the snow season even starts, to make sure we’re on the same page with their tolerance level and our plan,” Schneider says.

We update clients three to four days before a storm, then again 24 hours before a storm.

“Once we’re on their property, we let property managers know, with a text or an email,” Schneider says. “All they have to do is look at their phone, say, ‘Good, they’re there,’ and go back to sleep.”  

Tip No. 10: Use A Single Provider For Your Property’s Needs

Most Level Green customers who choose us for snow and ice management services are already under contract for our landscape maintenance services.

When we take care of your commercial property year-round, we really get to know your property — before the snow falls. We know where the delivery trucks come in, and other areas where clear pavement is crucial.
If heavy snow damages your shrubs or a plow nicks a curb, we take care of it.

When you become our year-round customer, you have the ease of dealing with one landscape maintenance vendor. Your Level Green account manager is your dependable contact, whether you need help planting flowers or clearing snow.

Trust Level Green With Your Snow Removal Budget

Winter’s on its way. If you’re still puzzling over your snow removal budget, give us a call. 

We’ll stop over for a free property assessment and consultation and give you an honest evaluation of your best options.

Level Green Landscaping provides snow and ice management services for its commercial maintenance customers throughout Washington DC, Maryland and parts of Virginia.

Call us at 202-544-0968 or complete our contact form online to ensure you have the best snow removal company for your commercial property — before the snow piles up