Construction work estimate form. Stages of self-development of the estimate. Types of estimates and methods of calculation
Many people know that construction is expensive. In order to reduce costs and know exactly how much money will be required for the construction of a building, it is necessary to draw up an estimate. It is the estimate that includes the calculation of the cost of the building as a whole.
Most construction workers and private developers are not interested in how to compose construction estimate, since they are either not experts in this, or they perform a certain scope of work, not being responsible for the construction of the facility as a whole.
Algorithm of work for adjusting the estimate
Effective bidding requires a broad knowledge of market conditions, material prices and the bids of your competitors. Bidding for jobs is a critical skill when you are self-employed as a contractor. If your stakes are unreasonably high, you won't get any work, but if they are too low, you will lose money in every job, or at least you won't do as much as you should be doing. Assess the location, access, and operating conditions when a potential client approaches you to bid.
To find out the cost of building a large object, calculations are carried out by specialists, using for this construction norms and special tables or formulas. This allows you to get the volume calculation faster. building materials that will be used to create the object.
The calculation of working hours is also regulated by the relevant regulations, which are guided by specialists in the preparation of calculations for the construction works themselves. The estimate also includes the energy resource that will be required for the work. An integrated approach to the calculation of construction allows you to foresee the costs and plan the purchase of building materials in the required quantity, within the time frame provided for the smooth conduct of construction.
Learn to say no in workplaces that require too much wiring, difficult access, or other unpleasant situations such as extreme heat or cold, difficult materials, and potentially hazardous situations. To be financially successful as a contractor, you need to be able to differentiate profitable jobs from money pockets before they start.
Types of estimates and methods of calculation
Make a careful detail of the materials that will be required for the job. Price for materials and add 10 to 15 percent for waste and as service charges for purchasing them. Some clients will receive the materials themselves. This will cut your bottom line, but it shouldn't exclude work from consideration.
Design and estimate documentation is the main one in the conduct of work, and it is necessary to adhere to the estimate. Since the cost of materials today is not constant, usually when calculating the estimate, price fluctuations and their tendency to change are taken into account. Before finally drawing up a construction estimate and agreeing on it, it is worth analyzing prices and taking into account the possible marriage of materials. Almost everywhere, the normalization of permissible marriage is taken into account, and special literature is used to take it into account.
Compare the work that is required at work with the tasks you have done in the past. This is where the expertise in your field is invaluable. When you start out, you will be making bad bets in at least a few jobs and losing money. Write it down as tuition cost, but be sure to learn it. As you gain experience, you will be faster in what you are doing and will be able to more accurately predict how long various tasks will take.
Stages of self-development of estimates
Multiply your hourly rate by the number of hours you are estimating and your work will take you. Add a percentage of that amount to cover overhead costs such as insurance, licensing, shipping, and store costs. Take a look at the end number from the customer's perspective and ask yourself if that makes sense. If your instinct tells you to tune it up or down, do it.
To construction works were carried out within the estimated estimate, many large companies provide their own stocks of the most "popular" building materials, which also provides the possibility of continuous work on the construction site, regardless of third-party suppliers. The use of our own warehouses also allows us to reduce the cost of construction materials, for which there are significant price fluctuations.
Submit the estimate to the prospect along with a timetable that will be announced when the job will be completed. As with your costs, it's always a good idea to build up some stock to make things go wrong. This is a precautionary estimate. “We still have two winters,” said Michael Beckmann of Hamburg's transport planning bureau Inros-Lackner, who tasked the city with overseeing the project.
Expansion due to force majeure, for example in the case of soil finds, cannot be envisaged. “This is something that nobody knows,” the expert said. The Greens, however, listened. The faction commander Joachim Drech wondered: J. Beckmann could not say anything. It's a matter of self-government and administration, Drer said. The expert wanted to know from the experts when there is reliable data. There are strong numbers after construction is completed, says Beckmann. According to Dreyer, if someone takes into account the land purchases, the total cost of turnover will be 36.7 million.
The estimated estimate may differ from the final one, which is calculated after the completion of the work. The correct calculation of the preliminary estimate avoids misunderstandings, and serious companies usually carry out repair and construction work within the preliminary estimate. The accuracy of the calculation may indicate the seriousness of the company's approach and high level professionalism of employees.
Construction is a very laborious process, which includes the implementation of various technical, repair and handling operations. In addition, a large number of construction equipment is used for the construction of the facility, teams of workers are involved, etc. In a word, the number of stages of construction may well confuse both the customer and the contractor, which will lead to the possible appearance of "off-target costs", therefore, at the beginning of construction or renovation works it is necessary to draw up an estimate in order to know exactly where and for what purposes the funds should be spent.
Types of estimates and methods of calculation
An estimate is a document that is agreed between the customer and the contractor and contains a complete list of the types of work planned to be performed at the construction site, building materials, technical equipment, etc. The document also indicates the volume of all listed units, the unit cost and the total amount. In addition, the estimate contains information on the cost of the work specified in it, the standards and timing of work, the cost of wages for workers, rent and operation of technical equipment at basic prices, as well as the conversion factor for current prices.
In order to understand how to make an estimate, you need to know what types of this document are. There are three main types of estimates:
- local;
- object;
- summary.
Since construction is a rather lengthy process, it is impossible to take into account all the nuances before laying the foundation. The contractor cannot know in advance what types of work will be required and whether there will be any complications or force majeure. Therefore, in the current construction process, local estimates are used, which take into account all costs, costs and deadlines for a specific type of work. Local estimates are used to make an object type estimate - given view the estimate describes the construction object in full. Summary estimates are made up of object estimates and are needed to describe several construction objects.
As mentioned above, it is impossible to accurately predict how the cost of labor, material resources and construction equipment will change over time, so the estimate is made on the basis of basic prices compiled in 2006, which are then translated into current ones. There are four methods for translating the estimate into current prices:
- base-index;
- basic compensation;
- resource;
- resource-index.
The base-index method implies the use of forecasted and current indices in relation to the values determined using the base prices or the prices of the previous period.
The baseline compensation method is applied using forecasted prices, compiled on the basis of base prices, taking into account the expected growth / decline, which are adjusted in fact during the construction process.
Resource method - the costs in the estimate with this approach are indicated in natural values, which are then calculated based on current prices, which are determined at the time of drawing up the estimate document.
Resource-index method - the method is similar to the base-index method with the only difference that the calculation is performed in physical terms.
There is no regulation on the application of the type of calculation of the estimate - for each specific object, an independently selected type of calculation is applied, which is prescribed in the contract.
Algorithm of work for adjusting the estimate
Financial investments are not unlimited, therefore, if the project cost is too high, the question arises of how to reduce the estimate in order to meet the planned budget. There are several ways:
1. Before carrying out repair work on a large construction site you can ask for a discount from construction company on the list of services provided. As a rule, construction companies take this step to strengthen cooperation, especially if the customer may become a regular customer in the future. A good opportunity to get a discount is a period of decline in orders, when it is not profitable for a company to lose a client.
2. As a rule, building materials are purchased with a 10% margin for unforeseen expenses, so you can discuss with specialists where it is advisable not to do this in order to save money. The same applies to the hiring of workers and the allocation of time to carry out construction work. To draw up an estimate that will save your budget, consult with professionals: what types of work can be reduced in time or abandoned altogether, where the number of workers can be reduced, and where the amount of materials used can be cut.
Stages of self-development of estimates
Estimator services are quite expensive, so in order to save money, you can use the following scheme to figure out how to learn how to make an estimate yourself:
1) First of all, it is necessary to study the estimated standards. There are three types of standards in total:
Their main difference is the field of application, so you need to know what type of construction will be used - this will determine which units of calculation should be used.
2) Having decided on the base, you should choose the type of calculation that will be used in this project.
3) Make up the types and number of estimates, combining them into a single structure. You need to know how many local and site estimates will be applied, which will then be combined into a single consolidated estimate.
4) The next stage is the direct calculation of the estimate. To know how to write an estimate at this stage correctly, you should thoroughly study what types of work will be used, how many units of equipment, building materials, workers and time will be needed for this, as well as standard performance standards.
6) After performing the calculation, it is necessary to bring the document into the appropriate form, the form of which is determined by the regulatory framework.
According to the rules, the estimate is divided into three components:
- direct costs - purchase of building materials, rental / purchase of special equipment, wages of workers;
- overhead costs are the costs of paying for the organization of the construction process and its administrative part;
- estimated profit- the type of costs that goes to pay remuneration to the contractor.
It is better to use professional services for budgeting. There are many companies that provide these services. It is enough to conclude an agreement for drawing up an estimate with her and pay for the work. As a rule, companies provide written guarantees for the correctness of the estimate and are ready to give reasons for each item of the provided document.
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