Midwest mustang was hooking people up with t-5 converstion kits for about.. ~1200 i believe.
I cant remember the price.
That was everything you needed. Tranny, bellhousing, clutch, shifter, pedals , ect ect ect.
What you are paying for a tranny 1300 is more than his whole kit.
Not to mention that that shop that does the work is going to charge you an arm and a leg for everything else they need.
You can get a T-5 no problem. But now you need all the little things.
500 for labor does seem right. Thats about a 8-12 hour job. Labor might run you about 600.
You would really have to research this more. Find out a parts list..
(midwestmustang) and figure out how much his kit costs.
Then talk to this shop to figure out an accurate labor quote. It may not be worth it.