Construction takeoffs and estimates both play a vital role in creating bids, winning projects, and keeping businesses profitable. However, the lines between these processes and their resulting documents can be blurry. Let’s explore the key differences between takeoffs and estimates (and how they work together).
Before we dive in, you might wonder, “What exactly is a construction takeoff?”
A construction takeoff is a detailed breakdown of the material, tools, and labor you need to complete a project successfully. Meanwhile, a construction estimate is a calculation of how much the project will cost, allowing you to submit competitive and profitable bids. You can read more in our beginner’s guide to construction takeoffs.
The purpose of a takeoff is to determine how much material (quantities and sizes), labor, and other resources are needed for the project.
Meanwhile, the purpose of an estimate is to determine the overall cost of the project, including not only materials and labor but also other expenses like permits, equipment, subcontractors, and overhead.
Essentially, the estimate uses the takeoff to determine the total costs of a project so construction experts can submit profitable and competitive bids.
Construction bidding is a time-consuming process, and contractors naturally want as much help as they can get.
Construction takeoffs can be easily outsourced to a trusted 3rd-party business (like Takeoff Monkey). Outsourcing saves you time, money, and stress while protecting you from costly errors. Meanwhile, accurate estimates often need to be completed in-house, as they require insights on details like:
The takeoff is always done before the estimation. Once the material quantities and sizes are determined, they serve as the foundation for the next step in the estimation process.
Meanwhile, the estimate comes after the construction takeoff, right before submitting the bid. Once all the quantities are measured in the takeoff, an estimator applies costs to those quantities and creates a comprehensive budget.
A construction takeoff focuses primarily on material quantities, including length, area, and volume. This document is more focused on raw numbers and measurements.
Meanwhile, an estimate has a broader scope, accounting for the cost of materials, labor rates, equipment costs, and any other expenses involved in completing the project.
A takeoff is often more detailed in terms of measuring the exact quantities needed for construction. It is primarily concerned with the “what” and “how much” of the project materials.
An estimate is more concerned with the “how much it will cost” and often includes additional details about labor rates, markup, and pricing strategies.
The output of a takeoff is a list or schedule of materials, quantities, and labor requirements. It may include detailed itemization based on the project drawings.
Meanwhile, the final product of an estimate is a financial figure or a detailed breakdown of the total project cost, including a profit margin, overhead, and allowances for risks or unforeseen expenses. This number is then used to create and submit a construction bid.
When you need a takeoff done correctly, the professionals at Takeoff Monkey are here for you. Combining industry-leading technology and hands-on expert support, we offer quick, reliable results you can trust. You can upload a project, contact our specialists, or see if you qualify for a free trial run to get started today!
