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  • estimating

    what do you guys use for it ?

  • #2
    Re: estimating

    I use my brain.
    Water Heater Reviews & Water Heater Information

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    • #3
      Re: estimating

      Originally posted by stokefire7 View Post
      what do you guys use for it ?
      So what arer we talking about here? Software?, labor rates?, material markups?

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      • #4
        Re: estimating

        We all can make educated/uneducated guesses. The pros follow what ? Lets start broad and narrow it down. (I'm clueless)

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        • #5
          Re: estimating

          A cup, some hot water and tea leaves

          Chicken Bones

          A crystal ball

          Tarot Cards

          An 8 ball fortune teller.

          Ok, our office software has it built in. It grabs material cost either from inventory or from warehouse online pricing. Of course it's only as good as the information I feed into it.

          You can always fall back on the twice the material cost method plus 10%
          sigpic

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          • #6
            Re: estimating

            I was just about to go to Barnes and Noble for the Plumbing Estimating for Dummies when I noticed your post. Thanks

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            • #7
              Re: estimating

              When your first starting out try this.
              Projected parts =cost + markup
              Projected labor= how long will the job take
              Misc, Believe me you'll need it
              Overhead.....A percentage of the job (to be determined by you)
              OK, your first proposals will scare you but after awhile you will become immune
              This may not work for every application but it's a starting point, the worst thing you can do is try to beat someone else's bid without doing your homework. Coming up with your own set of rules will allow you to figure out things faster.

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              • #8
                Re: estimating

                Originally posted by stokefire7 View Post
                I was just about to go to Barnes and Noble for the Plumbing Estimating for Dummies when I noticed your post. Thanks
                what i do is first, you need to figure out what your annual cost of doing business is. insurance, advertising, employees, fuel etc.etc.
                than you need to figure out a realistic number on billable hours, and be honest,time at a customers house not window or supply house time, your lucky if you have 6 billable hours a day
                than you need to figure out what you want your profit to be
                so lets say a companies over head is $121,200 per year not including material i figure material has its own mark up
                lets say a 1 man shop has 20 billable hours a month
                and wants to make 10% profit
                $121,200 / 1040= $116.54 + 10%=128.19 per hour
                20hrs x 52 wks= 1040 x $128.19 p.h. = 133,317.60 which equals $12,117.60 in profit
                the important thing is to be honest about your numbers if you fib it doesnt work.
                and than you can use your hourly number of $128.19 p.h. for everything you bid. you just need to figure out how many hours on a project (some plumbers are faster then others so you need to figure out your employees) and than material. and remember not to be to lean there are always things unforeseen
                Mike
                Clark County Plumbing And Drain
                www.plumbinginclarkcounty.com

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                • #9
                  Re: estimating

                  Originally posted by haycad View Post
                  what i do is first, you need to figure out what your annual cost of doing business is. insurance, advertising, employees, fuel etc.etc.
                  than you need to figure out a realistic number on billable hours, and be honest,time at a customers house not window or supply house time, your lucky if you have 6 billable hours a day
                  than you need to figure out what you want your profit to be
                  so lets say a companies over head is $121,200 per year not including material i figure material has its own mark up
                  lets say a 1 man shop has 20 billable hours a month
                  and wants to make 10% profit
                  $121,200 / 1040= $116.54 + 10%=128.19 per hour
                  20hrs x 52 wks= 1040 x $128.19 p.h. = 133,317.60 which equals $12,117.60 in profit
                  the important thing is to be honest about your numbers if you fib it doesnt work.
                  and than you can use your hourly number of $128.19 p.h. for everything you bid. you just need to figure out how many hours on a project (some plumbers are faster then others so you need to figure out your employees) and than material. and remember not to be to lean there are always things unforeseen
                  Just a continuation to the earlier post. Once you have figured out what your number is, it is important to determine if this is a realistic number for your area and if it is in line with your customers percieved value. I don't care what you charge per hour, if your phone is not ringing your hourly wage is $0. Sometimes it is necessary to analyze your overhead and find out where you can trim the fat, to make yourself competitive in the market you are in.
                  Distractions are everywhere, don't lose sight of your dream.

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