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 […]
Why Contractors Lose Bids: Contractors lose bids mainly because of inaccurate takeoffs, prices that are too high or too low, missed addenda, incomplete bid packages, missed deadlines, bonding or licensing gaps and proposals that fail to show value. Most of these problems are preventable with a repeatable estimating and bid review process. Losing a bid hurts because you spent hours […]
Quick answer: To write a construction bid, review the drawings and specifications, complete a quantity takeoff, price labor, materials, equipment and subcontractors, add overhead, contingency and profit, attach any required bid bond, then present the scope, price, schedule and exclusions in a clear document before the deadline. The best bids are accurate, easy to compare and honest about what is […]
Drywall cost estimating means calculating the total price of a drywall job by adding three things together: the material takeoff (sheets, tape, mud, screws and corner bead), the labor cost to hang and finish the board and a waste factor of roughly 10% to 15% to cover cuts and offcuts. Most residential drywall runs between $1.50 and $3.50 per square […]
Lump sum estimating prices a project as one fixed total for a clearly defined scope, so the contractor carries the risk if quantities run higher than expected. Unit price estimating prices each item of work by the measured quantity (per cubic yard, per linear foot, per square foot), so the owner pays for what actually gets built and the contractor’s […]
A manual takeoff means measuring quantities by hand on printed plans using a scale ruler and a calculator. A digital takeoff means measuring the same quantities on screen using specialized software. Neither method is universally better. The right choice depends on your project size, your bid volume and how much your team can afford to spend on tools versus time. […]
Earthwork and excavation typically costs between $5 and $30 per cubic yard for common soil and $40 to $150+ per cubic yard when rock removal, dewatering or difficult access are involved. The final number depends on soil type, haul distance, site access and how much cut and fill balances out on site. Because those variables swing the price so widely, […]
