HVAC Contractors
Payroll built for HVAC shops.
Class code 5537. Prevailing wage. SPIFFs and commissions. 1099 misclassification penalties that can wipe out a year of profit. We've seen it all — and we run payroll so you don't.
— What HVAC owners hire us for
WC class 5537 audit defense
We handle the NCCI auditor directly. Sheet-metal-only employees get reclassified. Most shops save 15-30%.
1099 vs W-2 documentation
We document the classification call so you survive an IRS or DETR audit — the #1 risk in HVAC.
Commissions & SPIFFs done right
Run through payroll as taxable wages, structured so they don't inflate your WC premium.
Prevailing wage & certified payroll
WH-347, weekly filings, fringe tracking for any public works HVAC job.
— The 5537 trap
One miscoded tech can cost you five figures.
Workers' comp insurers default every HVAC employee to the highest-rate code unless you push back. We audit the roster by actual duties, document fabrication-only shop hours separately, and challenge every wrong classification.
Real example
"Vegas HVAC shop. 14 employees. Previous payroll provider let the insurer code everyone as 5537 field. We carved out 3 fabrication-only employees and the office manager. Annual WC premium dropped $11,400."
— HVAC FAQ
What workers' comp class code applies to HVAC techs in Nevada?+
Most field HVAC techs fall under NCCI class code 5537 (Heating, AC, Refrigeration — installation, service, repair). Apprentices and helpers usually ride the same code. Sheet metal fabrication-only employees may qualify for a lower-rate code — we audit this on every account.
Can I pay my HVAC techs as 1099 contractors?+
Almost never, and Nevada is aggressive about it. If you control the schedule, supply the truck, or set the price — they're W-2. We've seen misclassification penalties wipe out a full year of profit. We document the classification call so you survive an IRS or NV DETR audit.
How do you handle prevailing wage on public HVAC jobs?+
We track certified payroll (WH-347), prevailing wage rates by class and county, and fringe benefits — and file weekly for any Davis-Bacon or Nevada public works project.
What about commission and SPIFFs for service techs?+
We run commissions and SPIFFs through payroll properly (taxable wages, not 1099 bonuses) so you don't trigger a misclassification audit. We also help structure commission plans that don't blow up your WC premium.
Can you handle multi-state crews — Nevada, California, Arizona?+
Yes. We register state accounts, file each state's UI and income tax, and handle reciprocity for techs who cross state lines on a job.
Do you set up Profit First for an HVAC S-Corp?+
Yes — we dial in a defensible reasonable comp number for the owner, set up the bucket accounts, and restructure pay cycles so you stop paying yourself last.
Run your HVAC shop. We'll run payroll.
— Founder story
Built by blue-collar, for blue-collar.
Profit First Payroll was founded by Matt Frechette, who brings 20+ years of hands-on experience in blue-collar environments. He's seen shops thrive — or unravel — because of poor cash flow, inconsistent owner pay, late crew checks, and workers' comp audit nightmares. PFP is built explicitly for trades and labor-heavy businesses: proper crew classification, project-based volatility, and protecting profit in high-risk industries.