Contractor pricing
Subcontractor Markup Calculator
Contractors often under-mark subcontractor work by adding margin as if it were markup. This tool shows the markup required to cover overhead and hold the margin you want.
Enter subcontractor pricing
Contractors often under-mark subcontractor work by adding margin as if it were markup. This tool shows the markup required to cover overhead and hold the margin you want.
Results
These figures show what the subcontractor line should become before you put it in front of a client.
To achieve a 15.0% margin, this requires a 29.4% markup, not 15.0%.
Summary
Subcontractor cost:$10,000.00
Overhead allowance:$1,000.00
Cost before profit:$11,000.00
Target margin:15.0%
Watchout
Subcontractor numbers are often under-marked because the target margin is added as if it were markup. The two are not the same.
Warning
Subcontractor numbers are often under-marked because the target margin is added as if it were markup. The two are not the same.
Keep these numbers tied to every job record.
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