What Is an Estimate?
An estimate is a written document that contains data on the possible amount of resources for completing a project. Also, an estimate contains formulas needed to accurately compute the data stored in it.
How to Make a Blank Estimate
One of the reasons why people get overwhelmed in making an estimate is because of the math involved. The truth is, making a project estimate is easy if you know basic mathematics. Don't believe us? Check out the list below and know how easy it is to make an estimate.
1. Gather the Data
The most important part of an estimate is the data it contains. If there is no reliable data, then there is no reason for making the estimate. Make a list of the deliverables or what is expected from the project. Afterward, start collecting the data to support the deliverables.
2. Tabulate the Information
Using tables to store the data is the easiest way to organize them. Tabulating the data is best when it comes to calculating variables with significant value, especially for an estimate budget sheet that contains various deliverables. To achieve this, use a spreadsheet for arranging all the data.
3. Provide Accurate Formulas
The trickiest part of making an estimated expense sheet is the calculations. A single error in the formula could be disastrous as it will yield inaccurate results. Make sure to know what needs to be computed and double-check on the formulas.
4. Make Simple and Professional
A neat and straightforward budget estimate is always good to look at. Remember that the document contains a lot of numbers, and you want your readers to quickly understand the contents. Therefore, use the appropriate font and simple terms.
5. Consider Formatting
Formatting can make a big difference in the final outcome of the job estimate. This means you have to be mindful of the spacing, capitalization, punctuations, and structure of the content.
What information should an estimate include?
Estimates should contain at least some of the following elements:
- Job description. This will explain the work that needs to be done. This part should be able to capture the interest of the client and provide them with the needed information.
- Materials and labor. This will inform the clients of the necessary materials, labor, and costs. However, you don't need to make this too specific because only the estimations are highlighted.
- Total cost. To achieve the total cost of the project, make sure that the estimate sheet contains the correct data.
- Sales and contact details. If you are aiming for high business returns, make sure to include your sales representative's contact details along with the company's. This will help your potential clients reach you if they have questions.
How much does an estimator earn?
Based on the data posted on ZipRecruiter, a recent survey shows that the average hourly rate of a construction estimator in the US ranges from $14.90 to $54.57, with an average of $33. From the same source, they say that estimators earn an average of $68,463 per year.
Are all estimators involved in construction projects?
There are different types of estimators and their assignments depend on the field they specialize in. In the case of constructor estimators, they work on construction projects because they have already mastered the different areas in construction.
What is the importance of estimating?
- Having an estimate will provide the project managers with an idea of the expenses before they begin their work.
- An estimate will help in narrowing down their choice for a contractor.
- Estimations will help you create solutions to possible problems even before they occur.
- Estimates will determine if your resources are enough for the project.
- Estimates will provide you with an in-depth understanding of the project and what's involved.
- Estimates will create better relationships with clients.
What are the different types of estimations?
- Approximate estimate
- Plinth area estimate
- Cubic content estimate
- Annual repair estimate
- Special repair estimate
- Revised estimate
- Supplementary estimate
- Detailed estimate