Takeoff and Calculations
Takeoff and Calculations
The name “takeoff” sounds silly, right? Well, there is a reason for it. The name "takeoff" originates from the method "taking off," or extracting information from the construction drawings and transferring it to a list or spreadsheet.
To do the takeoff, there is a certain art to it. As you become more familiar with electrical work, the bidding process will become more intuitive. Sure, you’ll still do measurements so you know the exact size or lengths or runs, but even after eyeballing a job, you can start to get a rough idea of what it will take, what it might cost, and how long it may take a person or crew to do the job.
To start the takeoff, you will create a list of materials. In this day and age, there are a variety of different software packages just for electricians (seriously, go do an internet search, there are a lot of options!). Some electricians use a simple spreadsheet, and some still just use a pocket notebook and tally it all that way. Whichever way you go, it is imperative to double and triple-check your numbers before the submission of the proposal.
Your list of materials should include everything needed, plus a little extra. Some companies may run on a slim extra margin, and some may go higher. Understanding your materials and employees can go a long way. As you work with the materials, you may find that 2% of the outlets you get seem to be faulty. So you should order extra to ensure you have enough on hand. If you have employees who cut off a lot of extra wire when preparing junction boxes, you can consider increasing the number of rolls of wire or the length of wire quoted.
Similarly, as you get to know your employees or as you do a variety of electrical jobs, you can better estimate the hours potentially needed to do a job. Again, building in a margin of error in the labor costs can help if there is an unexpected problem on the job. With your labor costs, you may get an estimate for hours, but how much do you or your employees make per hour?
If the job you’re bidding out is close to the company shop/warehouse/home base, it may not be an issue. But if you/your employees have to drive further than 50 miles (or what distance you/your company sets), you may also include mileage. Going to be staying overnight near a job? The bid should also include hotel rooms and a per diem. All of these things can vary by area/locality, so do some looking at the going rates.
Another thing that may get overlooked as you begin your bit is permitting. You will likely need a permit to do the work you’re performing. Getting caught without a permit could be expensive for you. Make sure you include all applicable permits in your bid as well as your time to do the permits (because paperwork doesn’t do itself).
After you have all of the pertinent information, crunch the numbers. Some bids may want a dollar amount for the full job. Other bids may want an itemized budget. Make sure you know what you need to submit for the bid!