Contractor Calculator
Calculate project costs, labor charges, material costs, and profit margins
Project Estimate
Detailed Cost Breakdown
Understanding Contractor Costs
Material Costs
Includes all physical materials needed for the project: lumber, concrete, fixtures, finishes, etc. Typically 40-60% of total project cost.
Labor Costs
Wages for workers, subcontractors, and your own time. Includes hourly rates, benefits, and payroll taxes.
Equipment Costs
Tools, machinery rental, maintenance, and depreciation costs for equipment used on the project.
Permit & Fees
Government permits, inspection fees, licensing costs, and insurance premiums specific to the project.
Overhead Costs
Indirect costs: office expenses, utilities, vehicle costs, marketing, and administrative expenses.
Contingency
Emergency fund for unexpected expenses (usually 5-20%). Protects against price increases, delays, and unforeseen issues.
Profit Margin Calculation
Profit margin is calculated on total costs (including contingency). For example:
- Total Costs: $10,450 (including contingency)
- 20% Profit: $10,450 × 0.20 = $2,090
- Project Price: $10,450 + $2,090 = $12,540
Industry standards: Residential 15-25%, Commercial 10-20%, Specialty work 25-40%.
Contractor Tips
Always get 3 quotes for materials
Track actual vs estimated time
Keep detailed records of all expenses
Use written contracts with clients