Quick Answer: A framing lumber takeoff counts every stud, plate, header, joist, rafter and sheet of sheathing from the plans, then adds a waste factor of 5 to 10 percent. To estimate framing cost, multiply those quantities by current supplier prices, add labor based on your crew’s production rates and apply overhead and profit. What Is a Lumber Takeoff? A […]
Quick Answer: To complete a roofing cost estimate, measure the roof’s plan area, multiply it by the pitch factor to get true surface area and divide by 100 to get roofing squares. Add a waste factor (about 10% for simple gable shingle roofs, 15% to 20% for cut-up roofs), multiply by material and labor unit costs per square, then add […]
Quick answer: Normal overhead for most contractors runs about 10% to 20% of annual revenue and normal net profit runs about 5% to 10% of the selling price. Together, that usually means a markup of roughly 15% to 40% on direct cost, depending on your trade, risk and competition. The “10 and 10” rule (10% overhead plus 10% profit) is […]
To price a construction job for profit, add up your direct costs (labor, materials, subcontractors and equipment), add a contingency for unknowns, recover your overhead and then apply your target profit margin by dividing total cost by one minus that margin. Do not just multiply cost by a markup. A 25% markup gives you only a 20% margin and that […]
