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Residential Paint Estimator 4.1a Manual

1. Page 15 17 Entering Work into the Program Page 18 22 Estimating 22 2 2 Page 23 30 Getting Extra Mileage from your Estimate Page 31 32 Page 2 Introduction Congratulations you have purchased the most comprehensive bid pricing program on the market for the Residential and Light Commercial Painting Contractor Its use will significantly reduce the possibility of mathematical errors when totaling your bid and the time involved in looking up production and material coverage rates You will always have a very detailed bid with a total breakdown of hours for each step of the job and an accurate detailed amount of the materials that will be needed You will be able to instruct your Foreman or Field Supervisors as to how long each phase of the job should take and how much material will be needed and then track their productivity to see how well they are doing This will help track each job so that you know not only how this job is doing but how your business is performing as well This will give you the ability to catch problems sooner and correct the situation if needed The program is completely user programmable for materials and production rates to suit your company and the way you do business We have endeavored to include many practical aspects used in the estimating of residential and commercial wo
2. s experience Add coats would be at industry standard production rates Sheet Misc Ceilings 4 gives you the ability to accurately price a verity of different ceiling systems Wood Acoustic Tile Popcorn Texture and Exposed Structural Ceilings An Exposed Structural Lids is typically a metal deck with exposed bar joist conduit and ductwork The author s formula is to paint all surfaces the same color with a dry fall material using the floor square feet You would want to add for unusually large joist or framing members excessive amounts of conduit or ductwork Sheet Prep amp Misc 5 covers a verity of prep situations from wall covering removal caulking and door lockset remove and install to painting of pipe As always you will find helps on the right side of the sheet As stated earlier on small screen computers you may have to scroll to the right to see all of the helps Page 19 Door Frames 6 Doors 7 and Windows 8 These sheets are used to estimate interior and exterior frames doors and windows On the right side of the sheets are instructions to setup for a verity of different types of units VWC 13 to Misc WC 18 These are entry sheets for different types of wall coverings Note that wall priming for all wall coverings are calculated at the top of sheet VWC 13 If priming is not needed for a particular wall covering remove the x in the yellow square on the left side of the screen in column
3. Employees Hourly Rate on row 8 in column H with the total Prevailing Wage Rate Be sure to add both the wage rate and fringe rate together Page 6 The two together make up the Prevailing Wage Rate You will usually be notified of the requirements to use these rates on your bid invitation Be sure and always check what the current Prevailing wage and Fringe rate is Not only does it change often it may vary in different counties and areas In some instances the Prevailing rate may be lower than your normal rate In this case you would probably want to use your normal rate the higher rate Sales Tax On line 14 column I enter the Sales Tax for the area where you normally work If the job you are bidding is in a municipality that has a different tax rate then where you usually work you may want to use that rate Some jobs may also have a tax exemption or reduction and you can make those changes as needed for the job you are bidding For this example will use 7 60 Miscellaneous Materials On line 15 column I enter a percentage for miscellaneous materials Items such as caulking masking and solvents are not directly covered in the bid This percentage of markup on the material is to cover these items which will generally run between 5 and 15 percent of the overall material cost on any given job You will want to track this percentage and adjust it as necessary Typically smaller jobs will need to be at a higher rate than larger jobs For
4. and 100 frames are 32 28 each Let s go back to sheet Job Totals and look at the bid we just created It should be self explanatory Line 9 column J you will see the total estimated materials the sales tax at the programmed 7 60 and the miscellaneous materials at the programmed 5 As you go down the sheet you will see how the program builds your bid Line 9 estimated material cost at 265 70 Line 11 is sales tax on the material at 20 19 Line 24 is the estimated man hours at 21 hours Line 29 is the total cost of field labor of 667 80 Line 42 is the total in house bid at 1 112 03 In column L you will see a Yes telling you which sheets you have made entries on and may want to print out You only need to print the pages that pertain to your bid Remember this is only a test or setup bid and the square foot and unit prices may not represent what the going rates really are In this example our little painting company is probably quite top heavy in that ten painters would probably not support a company with the overhead we setup You do not want to use this program for a real bid yet Now delete the amounts we just entered at walls ceilings frames and the job name on the Job Setup Sheet The Job Totals sheet should be blank except for average labor rate sales tax percent of miscellaneous materials and gross percent of markup Now would be a good time to go back and put in the real figures that represent what
5. apply profit to your bid Any one of these factors not being clearly defined will distort your profit figure Let s take a minute to look at what profit is The Webster Dictionary says profit is excess of income over expenditures income from an investment or transaction an advantage or 99 66 benefit derived from an activity making money on something and that is precisely why you are in business to make money Hypothetically without profit all bills would be paid all salaries would be paid and every one would go home happy However this is not a perfect world and estimating is not an exact science It is an estimate of what it will take to do the job Mistakes will be made and jobs will not go exactly as planned You will need a profit margin as a buffer to cover this You will need profit to grow your company buy new equipment to build a reserve to cover those mistakes and unforeseen problems The owner of the company has their assets invested in the company Invested capital includes all money in fixed assets working capital and the value of intangibles such as a trained organized crew goodwill business contacts technical competence and so forth The owner needs to be rewarded for their investment As the dictionary said Income from an investment Don t make the mistake that you can leave profit out of your bid or set the profit too low just to get jobs You won t be in business long doing that
6. but don t get greedy either Set a realistic profit margin that will cover the things we have been over and allow your company to grow prosper and the owner to make a reward on their investment of assets Test Bid It is important to stress that this program is only as accurate as what you put into it First you need to do an accurate and detailed takeoff of the project you are bidding It can be a field takeoff from an existing building or from a set of plans It is best to do your takeoff in sections On the exterior of a building you may want to do the takeoff by the side as in the North side the East side and so on On the interior it is suggested by the room You will find that this is easier to keep track of what you are doing and you won t be as likely to miss something Let s say we are doing a bid on a small new office and it has a Reception room with a GWB ceiling at 10 feet high The room is 20 feet long and 13 feet wide That will give us 66 feet of wall at 10 high for 660 square feet of walls and 260 square feet of ceiling Now we have two Page 13 offices with tile ceilings at 8 feet high Office 1 is 14 feet long and 12 feet wide for 52 feet times 8 feet high for 416 square feet Office 2 is 12 feet long and 12 feet wide for 48 feet times 8 feet high for 384 square feet We have a total of 260 square feet of ceiling 1460 square feet of walls and will say there are 4 hollow metal door frames to paint Now that we have
7. give us a total of 8320 hours which equals 18 03 per hour Enter this rate on the Program Sheet at line 37 column C Average Management Labor per Hour This hourly rate will be used by the program to budget the management hours to each job These salary packages include any vacations you may offer You are in effect just giving them time off with pay and it does not cost you any extra as it would with hourly employees Now at lines 38 through 47 in column C you need to add Burden and any Fringe Benefits that you may offer to your Management personnel These are very similar to your hourly employees FICA Medicare FUTA SUTA Work Comp General Liability Health Disability Life and any 401K contribution you may offer Some of these rates may be different then the hourly employees because their exposure is less so be sure to get actual rates from your insurance agent For this example let s assume that FICA is 5 65 Medicare 2 00 FUTA is 0 80 SUTA is 2 00 WorkComp 3 20 General Liability is 2 13 and you do not offer any of the rest The total of these Burdens is 15 78 or 23 670 based on the salary package of 150 000 Remember this is Fixed Overhead you have to pay these Burdens as part of you Management teams salary package The 23 670 00 needs to be added to the 150 000 for a total Management teams salary package cost to your company of 173 670 Converting to Percentages Now let s convert the Operations Overhead
8. is extremely important that the measurement of progress toward the goals can be made impartially and quantitatively in terms that are readily apparent and understood such as square feet number of doors or frames lineal feet of trim etc Ideally an employee should be able to judge his own progress toward a goal For instance if his goal is to paint at the rate of 400 square feet per hour to a good quality standard he can determine his own progress by measuring the area and by comparing quality to visual standards There should be little if any difference of opinion possible about whether or not the goal is being accomplished You won t be put in the position of seeming arbitrary because you ve set up a very subjective system of measuring progress In this way feedback is automatic for the employee and there is no room for argument He knows when he s doing a good job and when he s not Page 31 This also permits another solid management technique Management by Exception You as a manager need only focus your attention on the situations where performance is not meeting expectations and can let the other jobs be run without interference by those to whom responsibility and authority have been delegated This conserves your manager s time and energy letting them work where they can be most productive Now your thinking Oh No If a man knows he s doing real well he ll want more money So what Of course more money a
9. of solids of the paint Page 15 Coverage Rate SF GAL equals percent of Solids by Volume times 1604 divided by Dry Film Thickness in mils DFT For example paint with 38 solids by volume and a specified dry film thickness of two mils would yield a theoretical coverage of 305 SF GAL 38 x 1604 2 305 SF GAL To be accurate you need to check the material coverage specifications for the manufacturer of materials you are using and program them into the green squares So take the time and go through the program and fill in the products that you normally use and the prices that you pay for them You will want to fill in a detailed name of the products so that your job foreman or project manager will be able to know what you bid Once you have entered all the products and the prices you pay for them in to the program save it You will want to upgrade the prices whenever your supplier changes your cost Production Rates The production rates in the green squares in column K are preset based on industry standards They are user changeable to fit your needs or situation When any particular form of work is performed on a routine basis the experience and increased skill may result in increased production rates If or when you establish that a production rate is not right for your company and you always have to change it then you would probably want to change the program to represent the way you do business most of the time On the right side of
10. page you can also estimate caulking hand tool prep and power washing Page 21 Eqpt Subs Travel 27 If you need to rent or charge for the use of equipment you would make the entry here Type in a description of the equipment to be used At Time Needed enter a 1 2 or what ever and at Duration enter what that duration is as in weeks or months At Rate per day week or month enter the rate for that duration Example enter 2 at Time Needed enter weeks at Duration enter 125 00 for a weekly rate at Rate per day week or month and we will assume that there will be a 25 00 delivery and pickup charge and enter that at Delivery and Pickup The program takes the 125 00 per week rate times the two weeks needed and adds the 25 00 for pick up and delivery plus sales tax for the total cost of 295 90 The total selling of 340 29 is with the percent of gross markup you have entered on the Setup page This is what this equipment well be sold for in your bid At Sub Contractors you can enter a description of the work you will be subbing the amount of the sub contract and a percent of markup that you would like to make on the sub To be competitive you may not want to mark up sub work as much as you would in house work On lines 28 33 and 38 your percent of Management Overhead will be added to the amount of sub contract This is the cost of biding the job acquiring the contract collecting the money s
11. takeoff by the side as in the North side the East side and so on For the interior it is best to do each room separately You will find that this is easier to keep track of what you are doing and you won t be as likely to miss something Following are some formulas and take off information that may help in taking off a project If you are new to estimating it is strongly recommend that you acquire a copy of PDCA s Cost and Estimating Volume 2 Rates and Tables PDCA Painting and Decorating Contractors of America are a great organization that you may want to join This organization has done wonders to improve the painting industry over the years and their ongoing training would be an asset to any growing painting company Page 24 Formulas for Geometric Shapes Geometric shapes may be found all over a floor plain or a building in odd shaped rooms walls and exterior details They are really not hard to accurately take off if you know a few formulas Parallelogram The Parallelogram along with a Rectangle and a Square are B similar in how you would find the square feet or the area With the Rectangle Square and Parallelogram The opposite sides and opposite ends are of the same length and opposite angles are the same degrees To find the area take the length B times the height H Area BxH oo Trapezoid The Trapezoid is different from the Parallelogram or a B __ Square in that all sides and ends may have
12. this example we will use 5 Labor Overhead Contract painting can generally be considered a labor intense business Labor in most cases is the most important component often the highest single cost item No contract can be performed without labor however it is entirely possible to perform a contract with little or no material cost There are situations where the owner may furnish most if not all of the materials needed Labor is by far the best measurement of time therefore the best measurement in determining the degree of completion of any given job Because of these and many more facts relating to the importance of labor labor is the most desirable method with which to monitor overhead or operating cost By applying overhead cost as a percentage of labor cost the contractor has a better opportunity to measure and recover his overhead Many contractors make the mistake of using an arbitrary or inaccurate figure to cover their overhead cost This will often result in an inaccurate profit figure The contractor must establish precisely what his overhead cost will be for the year ahead This can be done accurately by following this simple procedure This information most likely will be considered confidential and the general manager or the owner may not want to reveal it to the estimating department The general manager or owner themselves can follow the following instruction and generate the percentages that your estimating department w
13. times the six repeats needed 108 inches or 9 feet You are going to have 12 inches of waste on each sheet with this repeat Now you need to select the type of wallpaper material being used from the chart on the right side of your screen Once determined enter the production rate for that material in the green square at Wallpaper Labor at SF HR For Borders 17 Wallpaper borders are taken off by the linear foot Borders are usually sold in 5 yard spools but may come in 10 20 or 30 yard spools also You will need to enter the size of spool that the border material you are using comes in Enter the production rate of either 45 LFH linear feet per hour for 2 to 6 inch borders or 35 LFH for 6 to 12 inch wide borders At Fabric WC 18 Enter the width of the material to be used in inches Fabric materials may come in widths from 36 to 60 inches wide On the right side of the screen at Fabric Wall Covering Installation determine the type of fabric to be used and select the corresponding production rate Acoustical fabrics are probably the most common material to be used however the production rate for installation varies greatly so be sure to verify what material will be installed Ext CMU 20 This sheet is for exterior masonry and allows you to build the system you need In column A you will select the systems to be used by placing a number in the yellow box The number will represent the number of coats to be applied Example
14. usually referred to as developed price estimating While it can be more time consuming then unit pricing or labor pricing developed pricing has the advantage of separating the various factors that influence price Each factor labor material overhead and profit is separately adjusted to allow for change in cost unusual conditions etc Each cost retains the proper relation to the other when a change is made Estimating is so important that the tempo and performance of the entire company hinge on how well or how poorly it is done Go over the plans and spec book thoroughly so that you have a good understanding of the job and how it is to be done Be precise in your takeoff and be thorough with the specs The estimate should properly record what was seen and understood at the time of the takeoff and accurately summarize the measurements used A good estimate is neatly organized and clearly written so that it is easy to read by people other then the estimator It is the responsibility of the user of this estimating program to correctly and thoroughly study each individual project and bid accurately to the specifications with labor material overhead and profit rates appropriate for your company and the region where you do business As stated earlier the use of this program will significantly reduce the possibility of mathematical errors when totaling your bid and the time involved in looking up production and material coverage rates You will have
15. wide and has 12 square feet of usable material in a linear yard When measuring to find the square feet of walls to receive VWC do not deduct for windows and doors unless they are very large at least 60 square feet each At Wallpaper pages 15 and 16 you will need to determined the size of rolls that the material you are using comes in American rolls have 30 square feet of usable material and European rolls have 25 square feet Once you have determined which you are using enter either 25 or 30 at SF per Single Roll Note If you do encounter an odd size roll of wallpaper for example 75 square feet to the roll enter the 75 in the green square at SF per Single Roll Enter the price of that 75 square foot roll at the Cost Per Single Roll and the program will calculate you wall covering material When measuring to find the square footage of walls to receive wallpaper do not deduct for windows and doors unless they are very large at least 60 square feet each If the wallpaper to be used has a pattern repeat you will need to consider it in determining your ceiling height or more appropriately your sheet length Example The plans show a ceiling height of 8 feet which is 96 inches The specs show that the wallpaper has a pattern repeat of 18 inches Divide the 96 inches height of walls in inches by the 18 inch repeat you get 5 33 repeats You will need six repeats or a Page 20 9 foot sheet to reach the ceiling Take the18 inches repeat
16. your company will need for the next year or until the end of the period you are working in now Just follow the instructions that we just went through for the demonstration only use real figures that represent your business and save the program when finished Page 14 Setting Up the Work Sheets Now assuming that you have gone back and programmed the Job Totals Sheet for your company we will take the time to setup the rest of the program to work the way you do business so you can get started bidding work There are many factors that will affect production and material usage rates achieved on any particular job The tables contained in this program may need to be modified to fit a particular contractor s experience and the company workforce s ability Materials Looking at sheet GYP or Plaster Walls 1 you will see that under the heading of Primer it just lists Latex Wall Primer and at a cost per gallon of 13 89 At Finish it just lists Latex E S at a cost of 16 72 per gallon NOTE All of the material prices that come pre programmed are only for demonstration and test purposes and do not reflect the real price of any product You must record the real price you pay for the products you use All of the areas in yellow are programmable on the fly It is a good idea however to set them up with the products and prices you normally use then you only have to change them if the situation changes For example if you nor
17. 8 20 General Liability is 2 13 and you do not offer any of the rest Your total Variable Overhead would be 20 78 for this example For this sample setup do not change the pre programmed percentages just leave the figures the way they are You will want to change them however when you setup for your own business Fixed or Operations Overhead Line 31 column C Operations Overhead is also referred to as Fixed Overhead The term Fixed is a little misleading Actually all cost can vary if sales volume fluctuates significantly from what is normal or expected Cost referred to under this heading is simply less variable than other overhead costs Tools and Equipment such as brushes and rollers may be considered as Variable Overhead by your accountant with the though that if you did not have employees you would not have the cost of these items I prefer to consider them as Fixed Overhead and find it easer to track them as such Management salaries are also usually considered as Fixed Overhead Management Overhead is the salaries of all non productive employees in your company This would include the Owner if he or she draws a salary and does not work in the field and produce direct income General Managers Estimators Receptionist Secretary Bookkeepers Warehouse Manager and Project Managers are all usually non productive employees These employees may be essential to your operation but they do not directly produce income Where as Managem
18. A at priming Each sheet will calculate the man hours and labor cost to install the wall covering that that sheet represents However if you price the installation for a sub contractor the estimated man hours and labor cost will not be displayed on the Job Totals page Instead it will be shown as a Sub Contract on line 45 column J On line 47 your percent of Management Overhead is added to the amount of sub contract Management Labor Cost represents the estimated hours and labor cost involved in preparing the estimate supervising the job and all office hours involved in clerical work for the project from start to finish Management Overhead needs to be added to your sub contracts to cover the cost of bidding the job acquiring the contract collecting the money supervising the job and paying the Sub Contractor Without adding this overhead your Management personal would be working for nothing Most wall covering contractors furnish there own paste The program assumes that the Sub Contractor is furnishing his own paste If you do not do this work in house and sub it out always get a commitment of price from your sub contractor before you bid It would be best that you get this commitment in the form of a written contract Vinyl Wall Covering pages 13 and 14 In the green squares on the right enter the width of the VWC material to be used in inches The program will calculate the square feet minis 10 for waste Most Vinyl Wall Covering is 54 inches
19. Residential Paint Estimator 4 1 Users Manual Published By 5106 Kiowa Dr Greeley Colo 80634 While every reasonable precaution is taken to ensure the accuracy of this program and the information contained in this publication Front Range Coating Consultants Inc accepts no liability for loss or damages of any kind resulting from the use of materials or information contained herein or from Estimator error or misuse in the user setup or user programming of this program If you disagree with any of the materials information or the industry standard production rates used as a base line with this program do not use them Change them to what you believe they should be By using them it will be assumed that you agreed with them Unauthorized reproduction or distribution of this program or any portion of it may result in severe civil and criminal penalties and will be prosecuted to the maximum extent possible under the law Copyright 2009 2013 L Lieser All Rights Reserved Copyright infringements will be enforced and prosecuted Page 1 Contents Introduction 22 Page 3 3 Programs Table of Contents Page 4 4 Programming Introduction Page 5 5 Programming the Job Setup Sheet Page 6 14 Setting up the Work Sheets
20. a Area 7854 times height m times width M For an ellipse a circle or any egg shaped figure find the area of the box that it will fit in and times it by 7854 and you have the area of your ellipse circle or egg shape With the formula for the area of a circle 7854 x D when you square D you are basically finding the area of a box Area 7854 x M x m To find the perimeter the distances around the ellipse add M m and divide it by 2 then times by Pi 3 1416 Perimeter 7 x M m 2 Cone You might find this as a steeple roof on a Church The surface area of the cone shape excluding the base is found by taking 2 times Pi 3 1416 times the radius R Sphere A sphere shape may be found as a tank or a decorative 0 object on a building The area is found by taking Pi 3 1416 times the diameter squared Area 7 x D s5 times the slant height hs divide by 2 If the radius is 5 AN feet and the slant height is 10 feet the calculation would look like this 2 x 3 1416 x 5 x 10 2 157 08 square feet of surface area of the cone Area 2x72x Rx Hs 2 Page 27 Window Sash and Trim This 2 lite 3X5 wood window example has a total of 35 LF of 3 X 5 2 Lite sash and trim Labor Production rates in Windows 12 of the Winpow EXAMPLE program have been determined assuming the sash and m perimeter trim detail components of a window assembly are je measured individually and
21. a detailed breakdown of hours amounts of materials cost of materials and cost of all other overheads as they apply to your job This will help you accurately bid more work have a better understanding of the job bid and be more profitable Following are seven steps that should be included in the estimating process 1 Identifying all items and surfaces to be finished 2 Measuring or counting all items and surfaces to be finished 3 Calculating the labor cost to perform the job 4 Calculating the cost of material to perform the job 5 Identifying and estimating additional job cost such as rental equipment bonds subcontracts etc 6 Adding proper overhead cost 7 Applying the desired profit Page 23 Following are nine rules of measurement used in estimating that should be employed when doing a takeoff Rule 1 No object is considered less than one linear foot long and shall be measured as one square foot per linear foot Rule 2 Pipes rods structural steel lumber and other items to be finished whose circumference or perimeter is less than one foot is measured as one foot otherwise the actual measurement is used Rule 3 Items having similar surface finishes application method and accessibility may be grouped together and an appropriate production rate may be applied to the entire group Rule 4 When items are adjacent which do not have all grouping factors in common they should be listed separately on the qua
22. ach phase of the job with projected man hours and the gallons of the specified materials needed to do the job This information combined with the production and material consumption rates used will help set goals for your employees so as to complete the job as scheduled Once your overall goal is set you can work with your employees to develop individual objectives which will meet that goal Knowing how many man hours it should take to do the job you can inform your employees what their production rate need to be The production rates used throughout this program are all based on industry standards These are rates that are tried and true and can easily be met by any qualified painter The inability to meet a production goal is usually not that the rate is too high but that an eight o clock starting time may not happen until around eight twenty A fifteen minute break ends up twenty and a thirty minute lunch stretches out to forty five minutes Now add in four or five bathroom breaks at ten to fifteen minutes each and half dozen smoke breaks at five minutes each and you have lost two hours of production If you want someone to put paint on at the rate of 400 square feet per hour you would expect him or her to produce for at least 7 hours at 400 square feet for a day s work of 2 800 square feet of painted wall In the above scenario they only produced 342 square feet per hour for a total of 2 400 square feet because they only worked about 6 hours It
23. and Management Overhead to percentages that you can use in this program For this example we used ten employees with an average wage of 17 per hour There are 2 080 working hours in a year so these ten employees will work 20 800 hours at 17 to generate 353 600 in revenue As a painting company you are selling labor You may include some material in your bids to your customers but in reality you are only selling your labor and that is where all your overhead needs to come from In our example we determined we were going to have a Fixed or Operations Overhead of 60 700 Divide this amount by the 353 600 of revenue and you will get 17 17 for your Operations Overhead The Management Overhead of 173 670 divided by the revenue of 353 600 gives us a Management Overhead of 49 11 Add the Operations Overhead of 17 17 the Management Overhead of 49 11 and the Variable Overhead on our employees pay of 20 78 that we determined earlier and we have our total labor overhead of 87 06 On the Job Setup Sheet at Operations Overhead line 31 in column C enter the 17 17 At Management Overhead line 32 column C enter 49 11 Management Overhead For a Small Company Let s take a minute here to look at a small company where the owner may work in the field painting For an example let s say he has two employees that he pays 17 00 per hour each Page 10 and he work with them except when he has to bid a job or run for material The only time he is e
24. arning his pay is when he is painting When he is bidding a job or going for materials he is Management Overhead He needs to evaluate how much time is spent painting and how much is spent in the management of his business For this example let s say it s about 50 50 and he pays him self 40 000 a year 20 000 or 50 needs to be considered as Management salary and treated as such In this example the owner s 40 000 salary would represent 19 23 per hour based on a 2080 hour working year but he is only working or producing in come for half of the year and is Management or overhead for the other half Divide the 19 23 per hour by 2 to get 9 62 per hour which will generate the 20 000 00 over the course of the 2080 working hours in the year To find the company s Average Hourly Rate add the 9 62 to the two employee s hourly rate of 17 00 each for a total of 43 62 Now divide by 3 the two employees and the owner for an Average Employees Hourly Rate of 14 54 This average hourly rate would be entered at Average Employees Hourly Rate on the Job Setup page on line 8 at column H Let s do a quick check 43 62 the average hourly rate for the two employees and the owner times 2080 the working hours in a year equals 90 729 60 payroll for the year Or take the Average Employees Hourly Rate of 14 54 times 6240 hours the total hours of the two employees and the owner for the year and you get the same thing 90 729 60 The employe
25. ary markup figure is used with the hope that it will cover the overhead and leave something for profit With out establishing what your overhead is and what your break even hourly rate is you are only guessing at what you should be charging Guessing can either leave you short on your estimate to the point where you will lose money or your bid may be higher than it needs to be and you may not get the job In the economy we live with today you cannot afford to guess you need to be right on the mark This program will take the guesswork out of your bidding process and show you what you need to charge to make the profit margin you desire It is strongly suggested that you go through this entire sample setup before setting up your own company It won t take very long and it will give you a good idea as to how the program functions For the sample setup please use the figures and rates suggested so that you can see how the program works It s not hard just follow the directions and examples in this user manual As you move through the program you will want to be mindful of the help tips on the right of each screen On a small screen computer you may have to scroll to the right to see them They will usually be in columns K through Q and will give you advice and directions for that page If you get this or this VALUE in the program it is an error message Don t panic you have just accidently entered a letter or punctuation mark in a nu
26. different lengths and all the angles may be different however it will have two parallel sides If you stood this shape on its end you might encounter it on a stair wall To find the area add B and C the parallel sides and divide by 2 then multiply by H the height or width depending how the figure is positioned Area B C 2 x H Basically what you are doing when you add B plus C and divided by 2 is finding the average length When you multiply the average length by the height or width you get the area of the figure Trapezium Where as a Trapezium is similar to a Trapezoid in appearance there are no parallel sides To find the area of a Trapezium divide it into two triangles and find there areas as in the example for Triangles below Area Sum of the 2 triangles Page 25 Triangle You could find a variation of this shape in the gables of buildings To find the area take the length of the longest side B times the height H and divide by2 Area B x H 2 2 m Circle Q Circles Ellipse Cylinders Cones and Spheres are shapes that you will encounter quite often on buildings and blueprints They are not hard to calculate if you know a few formulas Pi which may be represented by the symbol z 3 1416 Two other numbers that you will be using are derivatives of Pi 7854 and 0796 When you see a number or letter with a small 2 at the upper right hand corner as R it says that that number is to be squared or
27. e 1200 square feet of textured walls in an occupied area where spray application would not be practical You would enter the 1200 square feet and at Description you might enter Textured walls roller applied paint If priming is required be sure there is a one or two in the yellow square under Primer on the left side of the screen for one or two coats of primer In the yellow square at Finish you would enter a one two or three for the number of finish coats desired As you can see the system is very user friendly and gives you the ability to set the production and coverage rates the way you want them This also makes the user responsible that the rates are set right Be sure the production rates you are using are achievable If it s too fast you won t be able to get the work done in the time bid and you will lose money If it s to slow it will make your bid higher than it should be and you may not get the job As stated earlier always pay attention to the help information on the right side of your screen On sheets GYP or Plaster Walls 1 and GYP or Plaster Ceilings 3 the production rate of 90 to 100 square feet per hour for Repaints includes one coat of paint in an occupied area of a home or office having to protect floors and surroundings with minor wall prep and clean up The author has found this formula to be very affective how ever as stated earlier it may need to be adjusted or modified to fit a contractor
28. e they should be you are ready to price your work It is recommended that each estimator in your company have their own password to protect their work This password prevents an unauthorized person from changing the bid Anyone can open and read the bid but if they change it they have to save it under a new name and the original is unchanged To setup a password in Excel 2002 to 2003 click on Tools then Options and then Security At Password to Modify click in the box and type in your Page 16 password and click OK You will be asked to reenter password to modify After reentering your password again click OK Now don t forget your password To setup a password in Excel 2007 click on the round windows button in the upper left corner of your screen and scroll down to Save As and select Excel Workbook In the save as screen select the Tools button at the bottom of the window just to the left of the save button Click the tools button and select General Options In the general options box at password to modify click in the box type in your new password and click Ok Reenter your new password and click Ok again click save You will be notified that Residential Paint Estimator 3 5 already exists Do you want to replace it Click yes and you have added your password Again don t forget it These next two situations were pointed out earlier on page 5 but a reminder is appropriate here also As y
29. ent salaries have a very significant impact on your overhead I prefer to track them separately to be able to keep a close track of this cost We will address Management Overhead shortly Your Fixed Overhead is the cost of everything your company uses to make it function besides labor If you are using a balance sheet from your bookkeeper or accountant to find Page 8 your Fixed Overhead it may show things like equipment rental housing for employees when working away from home drug testing for employees Do not include these cost in when calculating your Fixed Overhead these types of expenses are direct job cost and are charged directly to the job when needed Fixed Overhead or Operations Overhead includes Advertising and Business Promotions Accounting and Legal Fees Auto and Truck cost and expenses Insurance and Taxes not related to labor Licenses Building rent or payment Utilities Dues and Subscriptions Office Supplies and Expense Depreciation Interest on long term loans Travel Expenses that are not charged to the job Bad Debts Tools and Equipment including equipment repair and any other cost you might have Make sure all of these costs are realistic and reflect anticipated expenses for the coming year If you have been in business for a while you will want to look back at that history and use it as a guide for setting up your new year Again your accountant should be able to help you with this Let s set up an example of Opera
30. es at 17 00 per hour earn 35 360 00 each for a total of 70 720 00 for the year The owner at 9 62 per hour over the course of the year will earn 20 009 60 half of the owner s yearly salary for a total payroll of 90 729 60 The other half 20 000 00 is to be figured with the Management Overhead To set up this small companies Management Overhead for the owners non productive time we need to take the 20 000 00 and add the Burden and any Fringe Benefits offered as we did in our example earlier in Management Overhead section For this example we will use the total Burdens of 15 78 as we used earlier Based on Management salary of 20 000 00 15 78 represents 3 156 00 Added to the 20 000 00 gives a total Management cost of 23 156 00 In the paragraph above we determined that this small company would produce 90 729 60 of payroll in the year Divide the cost of Management 23 156 00 by 90 729 60 payroll and you get the Management Overhead of 26 to be entered on line 32 in column C on the Job Setup page If your wife does your books for you and draws a salary that would fall in this Management category also Her salary with Burden and any Fringe Benefits offered would be added to the owner s non productive salary with Burden and Fringe Benefits of 23 156 00 and divide by the 90 729 60 payroll Setting up the program for a Sole Proprietor For a sole proprietor wanting to make a 40 000 00 a year salary based on 2080 working hour
31. ges that work a little differently At GYP or Plaster Walls 1 you have GYP or Plaster Wall Systems 1 2 3 4 and 5 These five systems can be set up all alike or if you have other systems you use often such as ano VOC material or maybe an S G system you can program for those in advance Or you may want to set them up for different production rates as in brush and roll or spray application If you followed the suggestion on page 13 at materials and entered the product you normally use your basic materials and there prices are already programmed in for you If your need to change one for a particular job just click in the Page 18 yellow area and you can type in the change In some situations you may want to change how many coats you will apply As an example you may have a job that only calls for primer and one finish coat Just change the two to a one As you are pricing your job if you see a production rate that is either too slow or too fast for the particular job you are doing you can fine tune it to suit the situation Go to the green squares in column K and change the rate of production to what you want it to be For an example Accent Walls you would undoubtedly hand cut and roll the finish coats at a production rate of 200 to 350 square feet per hour however you may very likely spray the primer along with all the other walls thus the priming production rate may be in the 500 to 800 square feet per hour range Another example You hav
32. guesswork out of what to include to get an accurate break even rate for your business With out an accurate break even figure you have no idea what to charge let alone what your profit might be Let s get started Line 8 column H Average Employees Hourly Rate is part of your initial setup and is the average hourly rate of pay for all field employees including working field Foremen These are the employees that do the work and produce the income for your company It would be very impractical if not impossible to calculate the hourly rate for each employee into a bid so we use an average labor rate For an example let s say you have five Employees one Laborer at 13 00 one Apprentice at 14 00 a Journeyman at 18 50 a Master Painters at 19 00 and one Foreman at 20 50 Your total hourly rate is 85 00 per hour Divide that by five the five employees and you get your average hourly rate of 17 00 Now enter this figure on line 8 column H Average Employees Hourly Rate on the Job Setup page It is very important that this figure accurately represents your average labor rate You will want to track this figure and update it as needed when hourly rates change or employees are added or subtracted Prevailing Wage Some government sponsored projects may use Davis Bacon or Prevailing Wage rates If the job is to use Davis Bacon or Prevailing Wage add the prevailing Labor rate and the Fringe rate together and replace your Average
33. he actual surface area per side Page 29 a aig A 4 B 6 C 8 3 3 s S I VT 5 8 5e k 17 kK 9 412 1 Common Estimating Multipliers Following is a list of some multipliers commonly used in paint estimating The use of multipliers will save time while performing a quantity takeoff and they provide a reasonable approximation of the actual surface area of the various items that are to be painted Acoustical grid in linear feet Area of the Ceiling Chin link fencing Length x Height x 2 sides Closed cabinets Length x Height x 6 Open shelving Length x Height x 4 Fire sprinkler piping 12 to 15 LF for every 100 SF of ceiling area add 15 for pipe hangers Open wood and steel joists Length x Height x 2 sides Standard flush door 42 Square Feet each Standard doorframe 34 Square Feet each Steel stairs and railing 20 Square Feet per riser Typical 2 pipe railing Length x 3 5 Typical 3 pipe railing Length x 4 5 Typical 4 pipe railing Length x 5 5 Typical 5 pipe railing Length x 6 5 Standard Concrete Double Tees Square Waffle Concrete Slabs 2 times the floor area 3 times the floor area L Length H Height SF Square Feet SF EA Square Feet Each Scaffolding ladders and other equipment required for access to work The following percentages are to be deducted from the appropriate production rate to compensate for the reduced production i
34. ill need to setup the program Page 7 Variable Overhead Lines 19 through 32 column C fall into the category of Variable Overhead Variable Overhead cost is that overhead cost generated by your workers themselves a cost which you would not have if you did not have employees Variable Overhead can be broken down into two basic categories lines 19 through 24 represent Labor Burden which would include FICA Medicare FUTA SUTA Workers Comp and General Liability and lines 26 through 29 represent Fringe Benefits which would include Health and Disability Life insurance 401K and Vacations to name some Labor Burden is mandatory to the cost of your labor while Fringe Benefits is just that Fringe Benefits and may or may not be offered as part of your pay package FICA Medicare FUTA and SUTA tax rates can be found from your accountant or the government agencies that represent them FICA is Social Security FUTA is Federal Unemployment and SUTA is State Unemployment FUTA and SUTA may be based on a limited amount of salary example as in the first 7000 00 Do not try to take it off once an employ has meat that criteria Remember you are establishing an average hourly rate not each employee s rate Workers Comp General Liability Health and Disability Life insurance rates or percentages can be found from your insurance providers For this example let s assume that FICA is 6 20 Medicare is 1 45 FUTA is 0 80 SUTA is 2 00 WorkComp
35. mally use Sherwin Williams products you may want to enter Prep Rite 200 B28W200 for the primer and Pro Mar 200 E S B20W2251 for the finish material with the prices you pay for them NOTE As you work in the program in the yellow or green fields you can write over or delete entreats to change them You can also move products and prices around by Copying and Pasting DO NOT cut and past When you cut and past you remove the formatting from the area that you cut If you accidently do this you can restore the formatting by copying a similar area and pasting it in the area you cut Then you can delete or write over the text to change the information to what you want it to be DO NOT cut and past In the green squares in column K the material coverage rates are pre set at basic industry standards Coverage rates can vary from manufacturer to manufacturer on the same type of product Paint manufacture product information sheets or there container labels usually indicate there Coverage rates However the listed rates are theoretical and do not take into account absorption of the substrate application technique or waste Guideline for application waste Brush amp Roll Add 5 to 10 Airless spray Add 20 to 25 Conventional spray Add 25 to 30 Paint Coverage Rates by Calculation You can calculate the theoretical coverage rate specified or indicated by data if you know the dry film thickness DFT of a coat of paint and the percent by volume
36. mber entry area This can occur when entering the price of material if you mistakenly enter a comma instead of a period between dollars and cents Just go find your mistaken entry and remove it the program will correct itself Page 5 Programming the Job Setup page At the top of the page Job Setup is Job Name Estimators Name and Date These are not part of the initial setup they will be filed in at the start on each bid By filling in these fields they are displayed on all pages identifying them as part of that bid Labor Rates Calculating your break even rate can be a time consuming and somewhat difficult task Contractors who have tried to tackle this manually say it can take them many hours if not days to complete Once the calculation is complete they discover that one change in their business can cause them to start the process all over again Meaning wasted time and effort We also hear from contractors who say that they try to calculate it but are not sure where to start or what to include in their break even rate to get an accurate number Here is the simple solution the set up page of this estimating program It only takes setting it up once with an easy to follow format and changes are made quickly and easily Your break even rate consists of your average direct labor rate burden rate any fringe rates that may apply and your overhead rate Our estimating program calculates all these numbers and takes all the
37. nd promotions are eventually expected when performance consistently exceeds objectives or standards If the performance is better then can t you afford more Wouldn t a raise be a good investment in the future productivity I can t think of a better reason to give a raise Also the estimate can be readily converted to a budget for controlling a successfully bid job if it is clearly set forth in terms of man hours and gallons of materials for the various activities of the job With an estimate like the one you will create with this program as opposed to one which is vague and has unit prices or lumps together several activities with one total labor figure or dollar cost it is easy for your bookkeeper to prepare schedule of values payroll reports or material cost records to track your job An estimate prepared with this program will also show your bookkeeper all of the overhead cost taxes and general condition cost that went into your bid As the job progresses your bookkeeper will be able to tell at a glance how well the job is doing If a problem has come up you will be able to respond in a timely fashion Problems caught early can many times be corrected Happy Bidding Page 32
38. ntity take off and measured at no less than one square foot per linear foot Rule 5 When items having equivalent surfaces finishes application method and accessibility change direction at sharp angles and continue for a significant distance in the new direction then measurement of the object increases by the length of the new direction but usually not less than one square foot per linear foot Rule 6 When measuring non uniformly shaped and curved items the added length of the surface due to its curvature change of direction or non uniformity must be measured Rule 7 Closely fabricated items such as chain link fence open web joists and grating should be measured as being solid If both sides of a closely fabricated item are finished double the surface area When a closely fabricated item is attached to a framework finished in a different color or material measure the framework separately as described in rule 2 Rule 8 When a small opening interrupts a continuous surface the opening is disregarded and considered part of the continuous surface Any openings extending from floor to ceiling and exceeding five feet in width should be deducted All openings 100 square feet or larger are deducted Rule 9 Cabinets tubs showers and other items that restrict movement or access shall not be deducted from measurements of total surface area It is best to do your takeoff in sections On the exterior of a building you may want to do the
39. nvolved with the use of the following equipment Rolling stage to 10 foot working height 10 to 15 Rolling stage above 10 foot working height 10 to 15 Extension ladders 25 to 50 Swing staging 30 to 40 Man lifts Booms 10 to 20 Page 30 Getting Extra Mileage from your Estimate Once your bid is submitted it would be easy to think that your estimate has served its purpose and can be filed away Wrong If you got the job your estimate becomes a valuable planning and control tool It will be the key to setting job performance standards and controlling the job in order to earn a maximum profit When the job is contracted the estimator will need to have a transfer meeting with the job foreman or project manager and go over the estimate When an estimator looks at the job he envisions it being accomplished in a particular manner Ideas may be generated on scaffolding sequence method of application crew size etc If these ideas are communicated to the foreman or project manager they are given an approach which they can take or use to improve upon If the estimator has filled out the estimating sheets with notes and materials by name the foreman or project manager will have detailed description of e
40. on a block building you may install one coat block filler and two coats of paint On a tilt up you may use one coat of a masonry primer and two coats of a Tex coat material Steel Railing and Stairs 24 This sheet paints Guard Rail Pipe Railing and steel Stair systems Example Steel Stair system with a length of 20 feet and a width of 4 feet will show 50 square feet to paint This is the skirts on either side of the stairs If the treads are to paint put an X in the yellow box at To Paint Treads and you have 130 square feet to paint Put an X in the box for risers and the square feet to paint changes to 234 square feet adding the risers If the pan or under side of the stair system paints put an X at Pan or Under side and you see 468 square feet to paint An example if the stair system did not have risers you would leave the yellow box for risers blank and the total square feet of the stair system to paint would be 260 square feet minus both sides of the risers At Primer enter the number of coats of primer at Finish enter the number of finish coats to be applied Misc EPA Caulk Prep 26 This is an area where you can enter a price for something that will not fit anywhere else It may be that you just want to add some hours and money for miscellaneous or unforeseen work You can type in a description of the work or purpose enter anticipated hours and material cost and a description of the material On this
41. ou move through the program you will want to be mindful of the help tips on the right of each screen On a small screen computer you may have to scroll to the right to see them They will usually be in columns K through Q and will give you advice and directions for that page If you get this or this VALUE in the program it is an error message Don t panic you have just accidently entered a letter or punctuation mark in a number entry area This can occur when entering the price of material if you mistakenly enter a coma instead of a period between dollars and cents Just go find your mistaken entry and remove it the program will correct itself Page 17 Entering Work into the Program Job Setup Page When you are going to price a job start at the Job Setup page enter the job name the estimator s name and the date Now go to Save As and save the job in a different file on your desktop or in some other job folder that you would normally use such as the Jones Job Now you can do your entry without contaminating the program You will always have a fresh program for your next bid In some situations you may need to enter a different wage rate adjust the tax rate and miscellaneous materials percentage and change the profit margin for a particular job Job Totals Page This page is a summary of your job The only entire you can make on this page is to the number of unites in a Multi Family Complex Lines 7 thro
42. our takeoff let s enter it into the Estimating program and see what it is going to cost to do this job how many hours it will take and how much materials will be needed At the top of the Job Totals page enter Test Bid for the job name You can put in the date and an estimator name if you would like The program is already setup with 17 for average painter labor rate and all of our overheads We have previously entered 15 for our profit margin and for this test bid let s leave it that way Now go to sheet Walls 1 and at line 6 enter the square feet of the wall 1460 You will see we are priming one coat and two finish coats Priming will take 5 hours and need 4 gallons of primer Two finish coats will take 9 hours and 8 gallons of material The information should be self explanatory The cost Per Square Foot of 45 cents is before profit and the Selling per Square Foot of 52 cents is with the profit added On sheet Ceilings 3 at line 6 enter the 260 square feet of the Reception room ceiling Go to sheet Frames 6 and enter the 4 Hollow Metal frames on line 6 You will note that we are not priming these Most Hollow Metal frames are pre primed When you start using the program you will see that some programs like this one round up the amount on just a few items to compensate for minimum labor and material The more frames you enter the cheaper they will get to a limit For an example the 4 frames are 45 97 each 10 frames are 33 02
43. r 9 997 69 This equals 40 012 09 the 40 000 00 sought It is a little different because the computer rounds things off differently then the calculator Also are shone the labor taxes for the year the operations overhead cost and 9 111 92 in profit based on the 15 markup we set up on the Setup Sheet Now remember these are only examples Do not use these figures in your own business In order to be able to establish an accurate hourly rate to charge your customer and to be able to control your profit you must determine what these overheads are Accurately establishing these overhead rates will make it possible to create a break even rate to build on and control you profit margins Page 12 Profit At the top of page Job Setup Cost of Labor per hr with Overhead line 9 column I you will see that your cost of labor is 31 80 This is your break even rate This labor has no profit but it would pay all the bills and salaries At Enter the Percentage of Gross Markup to be used line 10 column H enter the percent of mark up for profit that you want to use For this example place 15 in the yellow square Now you will note the Total Selling Labor with Overhead and Profit has changed to 36 57 reflecting your labor with profit This is the rate that you would sell your labor for Profit should normally generate from all items of cost that is labor material overhead and other job cost This is the way this program will
44. r sealing and painting systems Vinyl Wallcovering 13 Vinyl Wall Covering installation Vinyl Wallcovering 14 Vinyl Wall Covering installation continued Wallpaper 15 Wallpaper installation Wallpaper 16 Wallpaper installation continued Borders 17 Wallpaper Border installation Fabric WC 18 Fabric Wall Covering installation Ext CMU 19 Exterior Masonry Block Brick and Concrete painting systems Ext Siding 20 Exterior Siding painting systems Ext trim 21 Exterior Trim painting systems Overhead Doors amp Misc 22 Overhead doors Surface prep Fencing amp Wood Decks 23 Fencing Decks Railings and Stair Steel Railing amp Stairs 24 Steel Guard Railing Pipe Rail and Stairs Misc Hours amp Prep 25 Misc labor materials Caulking and Surface Prep Misc Expenses 26 Equipment Sub Contractors and Travel Expenses Page 4 Programming Introduction In the following tutorial you will be taken through a sample setup for a small painting company Many small and sometimes not so small companies do not have a good understanding of how their overhead affects what they need to charge per hour to make a profit All too often an arbitr
45. rhead but to your sub contracts as well to cover the cost of bidding the job acquiring the contract collecting the money supervising the job and paying the Sub Contractor Without adding this overhead your Management personal would be working for nothing Whereas the cost to manage sub contract work may not be as high as managing in house cost you can enter a percentage to modify your Management Overhead on the Job Setup page For an example if you only want to apply a third of your Management Overhead to your sub contracts On the Job Setup page at line 32 column G you would enter 33 at percent to modify Using the pre entered example of Management Overhead of 49 11 modified by a third 33 16 21 would be applied to your sub contractors for your Management Overhead cost Page 9 Let us look at a couple of examples as how to set up the program for Management Overhead For the first example let s say the Owner draws a salary of 75 000 a year and has a Secretary Bookkeeper with a salary of 30 000 An Estimator at 45 000 and a Project Manager with a salary of 40 000 for a total of 150 000 for Management salaries projected for the year At this point we are going to calculate an average hourly rate for our Management employees This is done a little differently than it was with the hourly people Let s take the 150 000 salaries package and divide it by the total hours for our Management team Four employees at 2080 hours per year
46. rk For those unusual things such as widgets there is a section on page Misc 25 where you can enter the estimated man hours and the estimated cost of the material and the price for those widgets will be included in your bid total To my Dad and all the other old timers who gave me the benefit of their painting experience Thank you Les Lieser Page 3 Programs Table of Contents Job Setup Program Sheet to enter base information for your company Job Totals Total summary of the job bid GYP or Plaster Walls 1 GYP wall painting systems CMU amp Wood Walls 2 CMU walls and wood paneling GYP or Plaster Ceilings 3 GYP ceiling painting systems Misc Ceilings 4 Wood Acoustic and Popcorn ceiling systems Prep and Pipe 5 Wall covering removal and Misc prep Doorframes 6 Door frame finishing systems Doors 7 22 22 0222 eee eee eee Door finishing systems Windows 8 Finishing systems for windows Trim amp Moldings 9 Moldings and wood trim finishing systems Cabinets and Beams 10 Cabinets shelves beams and columns Wood Stairs 11 Finishing systems for stairs and railings Floors 12 Floo
47. s represents approximately 19 24 per hour On the Job Setup Sheet at line 8 in column H Average Painters Labor Rate and line 37 column C Average Management Labor enter 19 24 Most of the Labor Burden lines 19 through 24 would be the same except a Page 11 sole proprietor or owner of a company may not have to care Work Comp on them selves Check these regulations in your area For this example we will assume that you do not have to care Work Comp and delete the example of 8 20 on line 23 Also delete the 3 20 Work Comp at Management Overhead line 42 You can include any of the Fringe Benefits if you want it to be part of your overhead Be aware that it will raise your hourly rate Note As a Sole Proprietor you not only have to pay your payroll taxes that are deducted from your pay check by your employer but you also have to pay the taxes on an employee that your employer pays When you are bidding or doing other management or clerical work for your company you are not producing income so this work needs to be looked at as overhead The work is necessary to your business so you should be paid for doing it For this example we will assume you spend 25 of your time doing this management work 25 would represent 2 hours per day or 520 hours for the year leaving 1 560 for producing income At 19 24 per hour you would produce 30 014 40 in the 1 560 hours To find the percent of overhead that the 520 hours of management work repre
48. sents take 520 hours times 19 24 your hourly rate and it equals 10 004 80 Now we have to add the management Labor Burdens Remember this is Fixed Overhead you have to pay these burdens as part of Managements salary In our example we have established that the total management burden line 44 column C is 12 58 10 004 80 times 12 58 equals 1 258 60 for a total value of the management labor of 11 263 40 The 11 263 40 management labor divided by 30 014 40 the amount of income produced equals 37 50 which is your management overhead Enter the 37 50 on line 32 column C of the Job Setup sheet For Operations Overhead let us assume that you have a work van that with monthly payments insurance gas and maintenance will run 10 500 for the year Your accountant will charge 1 200 for the year and tools and miscellaneous will cost 4 000 for a years total of 15 700 To find your Operations Overhead percentage divide the 15 700 by 30 014 40 the amount of income produced equals 52 31 Enter the 52 31 on line 31 in column C Now to check this all out go to Sheet Misc Hours 25 and at line 7 column C enter the 1560 hours that the sole proprietor will be able to produce work Now go back to the Job Total Sheet and see the results On line 24 in column J is the 1560 hours at 19 24 for 30 014 40 The rest of the Sole Proprietor income is on line 33 in the form of Management 520 hours at 19 24 per hour fo
49. taken times it s self Example 5 would be 5X5 25 In the diagram C represents the Circumference or distance around the circle D represents Diameter the distance across and R represents the Radius or half the diameter On a blueprint you may only be able to measure a duct column tank or pipes diameter distance across and you need to know the circumference to find the square feet of its surface To find the circumference C take Pi 3 1416 times D the diameter C r x D To find the area of a circle there are several formulas you can use depending on what information you have If you know the radius R it would be Pi 3 1416 times R squared Area m x R If you have the diameter D you would use the derivative of Pi 7854 times D squared Area 7854 x D If you know the circumference C you would use another derivative of Pi 0796 times C squared Area 0796 x C Cylinder or Tank C 4 The area of the top or bottom of a tank or cylinder would be found using one of the formulas for the area of a circle To find the area of the sides of the tank take the circumference C times the height h Area Cxh If you just know the diameter the formula for the area of the sides of the tank would be Area axDxh If needed you would add the area for the ends You would find the area for pipe or duct the same way just substitute length for height Page 26 Ellipse The area of an ellipse is easy to find with the right formul
50. the screen in the blue shaded area at the top of some pages you will see a notice regarding the use of man lifts rolling staging extension ladders etc With this notice is a percentage of deduction that should be used if these systems are anticipated to be used on the work you are bidding The use of this equipment can have a significant impact on the man hours for your job You may also find notices at some sections for a percent of production rate decrease for such things as breaks downtime cleanup and etc Be sure to take their use into consideration when setting production rates A fifteen minute morning break a couple bath room breaks and cleanup at the end of the day are not productive but they will be part of your work day If your painters can produce at 400 square feet per hour they would produce 3 200 square feet of walls in eight hours If they take the above break go to the bathroom and use 10 or 15 minutes to cleanup at the end of the day they will lose about 45 minutes If you deduct 10 you will have a production rate of 360 square feet per hour for 2 880 for the day which will compensate for the 45 to 50 minutes of downtime The industry standards production rates do not take in consideration for down time or prep Now if you have programmed the Job Setup Sheet for your business entered the materials you will be using entered the price you pay for them and you accept the production rates or have changed them to what you believ
51. then totaled The 3X5 window 4 p Ta example has 19 LF of vertical and horizontal sash plus 16 LF y of perimeter trim Note that a linear foot of perimeter trim is m assumed to include the jamb and casing If this example was a i j iP double hung window it would have 38 LF of sash and trim It it would have 22 LF of vertical and horizontal sash because in J i the double hung window there are two center cross pieces the b re bottom of the top sash and the top of the bottom sash The perimeter trim would still be 16 LF iW ji If this 3X5 window was hollow metal it would be measured at 19 LF total Hollow metal windows do not have the complexity of a wood window Usually the glass is set K directly into what is the jamb and casing of a wood window Your take off would be two vertical sides for 10 LF and the three horizontal pieces top middle and bottom for 9 LF to give you the total of 19 LF for the window unit Once in a while you will find hollow metal windows that are operable If you encounter this type of a hollow metal window take it off as you would the wood windows The above take off scenarios would paint one side of the window If you have browed light units inside the building and both sides are to be painted be sure to enter the total LF for both side of all of the units in to the windows program at Windows 10 If one side of the widow units were to have a different finish than the other side you
52. tions Overhead Fixed Overhead You anticipate spending 600 on advertising and your accounting fees to be 1 500 You have two trucks that with their payment maintenance gas insurance and licenses will run 15 000 each for a total for the two of 30 000 for the year Your building rent is 1 000 per month and the utilities are an average of 450 per month The rent and utilities would be 17 400 for the year You estimate spending 1 200 on office supplies and 10 000 on equipment and repairs Your Fixed Overhead or Operations Overhead for the year is 60 700 00 This is a very simplified example your Operations Overhead will most likely contain many more factors Management Overhead Line 32 column C Management Overhead is the salaries of all non productive employees in your company This would include the Owner if he or she draws a salary and does not work in the field and produce work General Managers Estimators Receptionist Secretary Bookkeepers Warehouse Manager and Project Managers are all usually non productive employees These employees may have yearly salaries or may be hourly paid They are essential to your operation but they do not directly produce income Management Labor Cost represents the estimated hours and labor cost involved in preparing the estimate supervising the job and all office hours involved in clerical work for a project from start to finish Management Overhead needs to be added not only to your general ove
53. ugh 25 in column D gives you a breakdown of hours labor rate burden and fringe benefits that apply to this job Lines 9 through 12 in column J shows material cost miscellaneous materials and sales tax Line 16 shows Cost of Equipment Line 20 is Miscellaneous Job Expenses Line 24 through 30 in column J is a break down of field labor cost Line 33 through 36 in column J is how management labor applies to your job Lines 39 through 42 are the total in house bid with gross percent of markup and net margin Lines 45 through 48 give a summary of any Sub Contracts that will apply to your bid Lines 51 and 52 shows the total bid including any Sub Contracts that apply to the bid and the total net profit margin On line 54 in column J you can enter the number of units when painting Multi Family Complexes as in Condos or Apartment Buildings and the program will give you a per unit price On the right of the screen in column L you will see a Yes or No telling you which sheets you have made entries on in preparing your bid This will guide you to the sheets you used for review or that you may want to print out You only need to print the pages that pertain to your bid On a small screen computer you may have to scroll to the right to see all of the details Work Entry Pages The work entry pages are all typical in how you make entries on them We will look at GYP or Plaster Walls 1 for the typical and then examine some of the other pa
54. upervising the job and paying the Sub Contractor With out adding this you would be working for nothing Always get a commitment of price from your sub contractor before you bid It would be best that you get this commitment in the form of a written contract At Miscellaneous Job Expenses Miscellaneous Job Expense category may be used to add a wide variety of job expenses to your bid such as meals and housing when working out of area or parking permits when required For some jobs you may be required to do drug testing or background checks and the coast can be added to your bid here On the other hand you may just want to add money to your bid to adjust it a little As you can see all sheets work pretty much the same and they do have helps on the right side in columns K through Q to guide you Page 22 Estimating Estimating is a combination of art and science While it may be difficult to consider all of the factors that can affect the cost of completing any particular job a sound method must be employed to accurately estimate all cost A well defined estimate will normally consist of four basic components Labor Material Overhead and Profit The estimate may also contain such other items as travel expenses special scaffolding equipment etc The amount of labor and material for a job should be calculated by applying production rates and material coverage rates to a sound takeoff of the square feet of surface to be covered This method is
55. would want to enter the LF in to two different programs One setup for the finish system on the one side and one setup for the finish system on the other side Examples would be the above browed lights or the interior and exterior of windows Page 28 Metal Decking Siding and Sheeting Corrugated Surfaces 2 2 Corrugated Sheet to find width before corrugation multiply the width after corrugation by 1 08 Assume depth to be 5 8 1 4 Corrugated Sheet to find width before corrugation multiply the width after corrugation by 1 11 Assume depth to be 5 8 Roof Deck Metal Sheeting If the surface has a cross sectional view similar to that shown first figure the square foot area then multiply by 2 42 to obtain the actual square foot If the cross section has a view similar to that shown figure the top side as the square foot area of the surface Figure the underside as follows A For each square foot area multiply by 1 63 for actual surface area B Multiply by 1 75 C Multiply by 1 92 If the surface area has a cross sectional view similar to that shown multiply the square foot of area by 1 5 to get the actual surface area per side If the surface area has a cross sectional view similar to that shown multiply the square foot of area by 1 42 to get the actual surface area per side If the surface area has a cross sectional view similar to that shown multiply the square foot of area by 1 75 to get t

Residential Paint Estimator 4.1a Manual

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