In 9-5 Takeoffs, there is an option to choose “billing amount” as the default cost. This doesn’t really make sense. Billing Amount = Cost + Overhead + Profit in most contracts.
There should be an option to use the billing amount for parts though. It just shouldn’t be the cost.
by: Ryan B. | over a year ago | Estimating
Comments
To elaborate, there should be a column that says "Billing Amount". From there, there should be a calculation option where if the "Billing Amount" is used, the Overhead/Profit columns aren't used. Basically, there should be an option to use either the billing amount or overhead/profit
I totally agree. We are a contractor that has a department that uses the overhead and profit markup and we also have a department that sets price based on MSRP (billing amount). The department that sets price based on billing amount - all parts used have a default cost and a MSRP billing amount. When these parts are brought into the takeoff the default cost on the part should come in as the cost on the takeoff and the billing amount should come in as the price on the takeoff. The difference would be the markup.
So when a part is brought in the calculation would be...
Default Cost * Quantity = Extended Cost
Billing Amount * Quantity = Extended Price
Extended Price - Extended Cost = Markup
Tax would be based upon taxable item * Extended Price