Unit rate estimating - Revision history

Editor at 16:42, 29 September 2020

2020-09-29T16:42:58Z

← Older revision		Revision as of 16:42, 29 September 2020
Line 86:		Line 86:
	* Pre-tender estimate.		* Pre-tender estimate.
	* Tender cost.		* Tender cost.
		+	* Top down and bottom up estimating.

	= External references =		= External references =
Line 91:		Line 92:
	* Quantity Surveyor's Pocket Book by Duncan Cartlidge.		* Quantity Surveyor's Pocket Book by Duncan Cartlidge.

−	[[Category:Construction_management]] [[Category:Cost_/_business_planning]]	+	[[Category:DCN_Definition]] [[Category:DCN_Guidance]] [[Category:Construction_management]] [[Category:Cost_/_business_planning]]

Designing Buildings at 10:18, 6 March 2020

2020-03-06T10:18:42Z

← Older revision		Revision as of 10:18, 6 March 2020
Line 1:		Line 1:
	= Introduction =		= Introduction =

−	Unit rate estimating is a method used to calculate building costs. In unit rate estimating the ~~price for~~ the bill of ~~quantities’ items~~ are each calculated separately. ~~A different~~ method of estimating ~~can be~~ operational rate estimating.	+	Unit rate estimating is a method that can be used to calculate building costs. In unit rate estimating the prices of items on the bill of quantities are each calculated separately. An alternative method of estimating is operational rate estimating, in which a distinct parcel of work is priced as a package.

	= Unit rate =		= Unit rate =
Line 13:		Line 13:
	= Labour costs =		= Labour costs =

−	To calculate the labour cost, the estimator will establish the ‘all-in ‘rate per hour~~. To calculate the ‘all-in costs’ the estimator~~ may include ~~the following.~~	+	To calculate the labour cost, the estimator will establish the ‘all-in ‘rate per hour, which may include standard hourly rate of wages and hourly calculated ‘on costs’ consisting of:

−	~~• Standard hourly rate of wages~~	+	* Overtime payments.
		+	* Holiday payments.
		+	* Travel and fares.
		+	* Sickness and injury benefits.
		+	* Retirement and death benefits.
		+	* Tool allowance.
		+	* Guaranteed work week allowance.
		+	* CITB levy.
		+	* Employers insurance liabilities.
		+	* Any other employer-paid benefits.

−	~~• Hourly calculated ‘on costs’ consisting~~ of:	+	The estimator will also need to establish the number of productive hours by estimating the allowable hours worked per week taking into consideration the seasons, sickness allowance and holidays. They can then estimate the effective working hours per working week.

−	~~# Overtime payments.~~	+	The labour constant can be difficult to estimate due to variances in output. Historical data can help to estimate this as accurately as possible. The National Joint Council for the construction industry provides the working rules and standards that can be used to help calculate hourly rates.
−	~~# Holiday payments.~~	+
−	~~# Travel and fares.~~	+
−	~~# Sickness and injury benefit.~~	+
−	~~# Retirement and death benefit.~~	+
−	~~# Tool allowance.~~	+
−	~~# Guaranteed work week allowance.~~	+
−	~~# CITB levy.~~	+
−	~~# Employers insurance liabilities.~~	+
−	~~# Any other employer-paid benefits.~~	+
−		+
−	The estimator will also need to establish the productive hours by estimating the allowable hours worked per week taking into consideration the seasons, sickness allowance and holidays. He can then estimate the effective working hours per working week. The labour constant can be difficult to estimate due to ~~the~~ variances in output. Historical data can help to estimate it as accurately as possible. The National Joint Council for the ~~Construction~~ industry provides the working rules and standards that can be used to help calculate hourly rates.	+

	= Materials =		= Materials =
Line 39:		Line 37:
	* Transportation costs.		* Transportation costs.
	* Storage costs.		* Storage costs.
−	* Waste allowance – depending on the material. An allowance of 10% is usually applied ~~as an industry standard~~.	+	* Waste allowance – depending on the material. An allowance of 10% is usually applied.

−	The material unit rate can be complicated to estimate. The unit rate at which contractors will purchase materials can be different from the way units are measured in the bill of quantities. An example can be the purchase of sand ~~that will~~ be bought from suppliers in tonne. The bill of quantities measurement for sand ~~will~~ be quantified in cubic meters. The estimator will have to convert the merchant’s rate to follow the bill requirements.	+	The material unit rate can be complicated to estimate. The unit rate at which contractors will purchase materials can be different from the way units are measured in the bill of quantities. An example can be the purchase of sand which may be bought from suppliers by the tonne. The bill of quantities measurement for sand may be quantified in cubic meters. The estimator will have to convert the merchant’s rate to follow the bill requirements.

	= Plant =		= Plant =

−	To calculate the unit rate of plant the estimator will have different calculations for plant owned by the contractor to plant that is hired in. A contractor that owns ~~his~~ own plant will calculate the ‘all in’ plant rate by looking at the operating cost and the fixed costs.	+	To calculate the unit rate of plant the estimator will have different calculations for plant owned by the contractor to plant that is hired in. A contractor that owns their own plant will calculate the ‘all in’ plant rate by looking at the operating cost and the fixed costs.

	Operating cost will consist of:		Operating cost will consist of:
Line 61:		Line 59:
	* Overhead costs including storage and administration.		* Overhead costs including storage and administration.

−	To establish the hourly rate the estimator will have to calculate the output performance of the plant. The performance of the plant will be influenced by factors on-site ~~like~~ weather and site conditions ~~and~~ can be unique for each project.	+	To establish the hourly rate the estimator will have to calculate the output performance of the plant. The performance of the plant will be influenced by factors on-site such as weather and site conditions which can be unique for each project.

−	The items captured by the estimator for unit rates can include further calculations ~~to include~~ preliminaries and profit and overheads. This will depend on the structure of the bill of quantities and might be separated in different sections in the bill or added onto the unit costs.	+	The items captured by the estimator for unit rates can include further calculations for preliminaries and profit and overheads. This will depend on the structure of the bill of quantities and might be separated in different sections in the bill or added onto the unit costs.

	= Related articles on Designing Buildings Wiki: =		= Related articles on Designing Buildings Wiki: =
Line 75:		Line 73:
	* Cost engineering.		* Cost engineering.
	* Cost information.		* Cost information.
−	* Cost ~~of building~~.	+	* Cost plan.
	* Elemental cost plan.		* Elemental cost plan.
	* Estimate.		* Estimate.
	* Estimating		* Estimating
	* Estimator.		* Estimator.
−	* Forecast period.
	* Initial cost appraisal.		* Initial cost appraisal.
−	* Market value.
	* Measurement.		* Measurement.
	* New Rules of Measurement.		* New Rules of Measurement.
	* Order of cost estimate.		* Order of cost estimate.
−	* Outturn cost.
	* Overheads.		* Overheads.
−	* Operational ~~Rate~~ estimating	+	* Operational rate estimating
	* Pre-tender estimate.		* Pre-tender estimate.
	* Tender cost.		* Tender cost.

−	= External ~~References~~ =	+	= External references =

−	Quantity Surveyor's Pocket Book by Duncan Cartlidge	+	* Quantity Surveyor's Pocket Book by Duncan Cartlidge.

	[[Category:Construction_management]] [[Category:Cost_/_business_planning]]		[[Category:Construction_management]] [[Category:Cost_/_business_planning]]

109.157.30.178 at 22:19, 5 March 2020

2020-03-05T22:19:21Z

← Older revision		Revision as of 22:19, 5 March 2020
Line 1:		Line 1:
	= Introduction =		= Introduction =

−	Unit rate estimating is a method used to calculate building costs. In unit rate estimating the price for the bill of quantities’ items are each calculated separately. A different method of ~~unit rate~~ estimating is operational rate estimating.	+	Unit rate estimating is a method used to calculate building costs. In unit rate estimating the price for the bill of quantities’ items are each calculated separately. A different method of estimating can be operational rate estimating.

	= Unit rate =		= Unit rate =

Editor2 at 16:37, 4 March 2020

2020-03-04T16:37:21Z

← Older revision		Revision as of 16:37, 4 March 2020
Line 36:		Line 36:
	The ‘all in rate’ for materials can be calculated as follows:		The ‘all in rate’ for materials can be calculated as follows:

−	• Supplier/purchasing rate.	+	* Supplier/purchasing rate.
−		+	* Transportation costs.
−	• Transportation costs.	+	* Storage costs.
−		+	* Waste allowance – depending on the material. An allowance of 10% is usually applied as an industry standard.
−	• Storage costs.	+
−		+
−	• Waste allowance – depending on the material. An allowance of 10% is usually applied as an industry standard.	+

	The material unit rate can be complicated to estimate. The unit rate at which contractors will purchase materials can be different from the way units are measured in the bill of quantities. An example can be the purchase of sand that will be bought from suppliers in tonne. The bill of quantities measurement for sand will be quantified in cubic meters. The estimator will have to convert the merchant’s rate to follow the bill requirements.		The material unit rate can be complicated to estimate. The unit rate at which contractors will purchase materials can be different from the way units are measured in the bill of quantities. An example can be the purchase of sand that will be bought from suppliers in tonne. The bill of quantities measurement for sand will be quantified in cubic meters. The estimator will have to convert the merchant’s rate to follow the bill requirements.
Line 52:		Line 49:
	Operating cost will consist of:		Operating cost will consist of:

−	• Fuel.	+	* Fuel.
−		+	* Operator wages.
−	• Operator wages.	+	* Other consumables – e.g. fuel.
−		+
−	• Other consumables – e.g. fuel.	+
−		+
−	~~Fixed Cost will consist of:~~	+
−		+
−	~~• Capital cost for purchasing plant.~~	+
−		+
−	~~• Maintenance cost.~~	+
−		+
−	~~• Tax and insurance~~.	+

−	~~• Expected operating life.~~	+	Fixed cost will consist of:

−	• Overhead costs including storage and administration.	+	* Capital cost for purchasing plant.
		+	* Maintenance cost.
		+	* Tax and insurance.
		+	* Expected operating life.
		+	* Overhead costs including storage and administration.

	To establish the hourly rate the estimator will have to calculate the output performance of the plant. The performance of the plant will be influenced by factors on-site like weather and site conditions and can be unique for each project.		To establish the hourly rate the estimator will have to calculate the output performance of the plant. The performance of the plant will be influenced by factors on-site like weather and site conditions and can be unique for each project.

Editor2 at 16:00, 4 March 2020

2020-03-04T16:00:37Z

← Older revision		Revision as of 16:00, 4 March 2020
Line 100:		Line 100:
	* Pre-tender estimate.		* Pre-tender estimate.
	* Tender cost.		* Tender cost.
		+
		+	= External References =
		+
		+	Quantity Surveyor's Pocket Book by Duncan Cartlidge

	[[Category:Construction_management]] [[Category:Cost_/_business_planning]]		[[Category:Construction_management]] [[Category:Cost_/_business_planning]]

Editor2 at 15:48, 4 March 2020

2020-03-04T15:48:30Z

← Older revision		Revision as of 15:48, 4 March 2020
Line 15:		Line 15:
	To calculate the labour cost, the estimator will establish the ‘all-in ‘rate per hour. To calculate the ‘all-in costs’ the estimator may include the following.		To calculate the labour cost, the estimator will establish the ‘all-in ‘rate per hour. To calculate the ‘all-in costs’ the estimator may include the following.

−	~~===~~ • Standard hourly rate of wages ~~===~~	+	• Standard hourly rate of wages

−	~~===~~ • Hourly calculated ‘on costs’ consisting of: ~~===~~	+	• Hourly calculated ‘on costs’ consisting of:

	# Overtime payments.		# Overtime payments.
Line 50:		Line 50:
	To calculate the unit rate of plant the estimator will have different calculations for plant owned by the contractor to plant that is hired in. A contractor that owns his own plant will calculate the ‘all in’ plant rate by looking at the operating cost and the fixed costs.		To calculate the unit rate of plant the estimator will have different calculations for plant owned by the contractor to plant that is hired in. A contractor that owns his own plant will calculate the ‘all in’ plant rate by looking at the operating cost and the fixed costs.

−	~~===~~ Operating cost will consist of: ~~===~~	+	Operating cost will consist of:

	• Fuel.		• Fuel.
Line 58:		Line 58:
	• Other consumables – e.g. fuel.		• Other consumables – e.g. fuel.

−	~~===~~ Fixed Cost will consist of: ~~===~~	+	Fixed Cost will consist of:

	• Capital cost for purchasing plant.		• Capital cost for purchasing plant.

Editor2 at 15:45, 4 March 2020

2020-03-04T15:45:13Z

← Older revision		Revision as of 15:45, 4 March 2020
Line 7:		Line 7:
	A price is calculated for each item in the bill in isolation to the rest of the works. The estimator will take into consideration the following factors:		A price is calculated for each item in the bill in isolation to the rest of the works. The estimator will take into consideration the following factors:

−	• Labour costs.	+	* Labour costs.
−		+	* Materials.
−	• Materials.	+	* Plant.
−		+
−	• Plant.	+

	= Labour costs =		= Labour costs =
Line 17:		Line 15:
	To calculate the labour cost, the estimator will establish the ‘all-in ‘rate per hour. To calculate the ‘all-in costs’ the estimator may include the following.		To calculate the labour cost, the estimator will establish the ‘all-in ‘rate per hour. To calculate the ‘all-in costs’ the estimator may include the following.

−	• Standard hourly rate of wages	+	=== • Standard hourly rate of wages ===
−		+
−	~~• Hourly calculated ‘on costs’ consisting of:~~	+
−		+
−	~~1. Overtime payments.~~	+
−		+
−	~~2. Holiday payments.~~	+
−		+
−	~~3. Travel and fares.~~	+
−		+
−	~~4. Sickness and injury benefit.~~	+
−		+
−	~~5. Retirement and death benefit.~~	+
−		+
−	~~6. Tool allowance.~~	+
−		+
−	~~7. Guaranteed work week allowance.~~	+
−		+
−	~~8. CITB levy.~~	+

−	~~9. Employers insurance liabilities.~~	+	=== • Hourly calculated ‘on costs’ consisting of: ===

−	10. Any other employer-paid benefits.	+	# Overtime payments.
		+	# Holiday payments.
		+	# Travel and fares.
		+	# Sickness and injury benefit.
		+	# Retirement and death benefit.
		+	# Tool allowance.
		+	# Guaranteed work week allowance.
		+	# CITB levy.
		+	# Employers insurance liabilities.
		+	# Any other employer-paid benefits.

	The estimator will also need to establish the productive hours by estimating the allowable hours worked per week taking into consideration the seasons, sickness allowance and holidays. He can then estimate the effective working hours per working week. The labour constant can be difficult to estimate due to the variances in output. Historical data can help to estimate it as accurately as possible. The National Joint Council for the Construction industry provides the working rules and standards that can be used to help calculate hourly rates.		The estimator will also need to establish the productive hours by estimating the allowable hours worked per week taking into consideration the seasons, sickness allowance and holidays. He can then estimate the effective working hours per working week. The labour constant can be difficult to estimate due to the variances in output. Historical data can help to estimate it as accurately as possible. The National Joint Council for the Construction industry provides the working rules and standards that can be used to help calculate hourly rates.
Line 61:		Line 50:
	To calculate the unit rate of plant the estimator will have different calculations for plant owned by the contractor to plant that is hired in. A contractor that owns his own plant will calculate the ‘all in’ plant rate by looking at the operating cost and the fixed costs.		To calculate the unit rate of plant the estimator will have different calculations for plant owned by the contractor to plant that is hired in. A contractor that owns his own plant will calculate the ‘all in’ plant rate by looking at the operating cost and the fixed costs.

−	Operating cost will consist of:	+	=== Operating cost will consist of: ===

	• Fuel.		• Fuel.
Line 69:		Line 58:
	• Other consumables – e.g. fuel.		• Other consumables – e.g. fuel.

−	Fixed Cost will consist of:	+	=== Fixed Cost will consist of: ===

	• Capital cost for purchasing plant.		• Capital cost for purchasing plant.

Editor2: Created page with "= Introduction = Unit rate estimating is a method used to calculate building costs. In unit rate estimating the price for the bill of quantities’ items are each calculated sep..."

2020-03-04T15:38:29Z

Created page with "= Introduction = Unit rate estimating is a method used to calculate building costs. In unit rate estimating the price for the bill of quantities’ items are each calculated sep..."

New page

= Introduction =

Unit rate estimating is a method used to calculate building costs. In unit rate estimating the price for the bill of quantities’ items are each calculated separately. A different method of unit rate estimating is operational rate estimating.

= Unit rate =

A price is calculated for each item in the bill in isolation to the rest of the works. The estimator will take into consideration the following factors:

• Labour costs.

• Materials.

• Plant.

= Labour costs =

To calculate the labour cost, the estimator will establish the ‘all-in ‘rate per hour. To calculate the ‘all-in costs’ the estimator may include the following.

• Standard hourly rate of wages

• Hourly calculated ‘on costs’ consisting of:

1. Overtime payments.

2. Holiday payments.

3. Travel and fares.

4. Sickness and injury benefit.

5. Retirement and death benefit.

6. Tool allowance.

7. Guaranteed work week allowance.

8. CITB levy.

9. Employers insurance liabilities.

10. Any other employer-paid benefits.

The estimator will also need to establish the productive hours by estimating the allowable hours worked per week taking into consideration the seasons, sickness allowance and holidays. He can then estimate the effective working hours per working week. The labour constant can be difficult to estimate due to the variances in output. Historical data can help to estimate it as accurately as possible. The National Joint Council for the Construction industry provides the working rules and standards that can be used to help calculate hourly rates.

= Materials =

The ‘all in rate’ for materials can be calculated as follows:

• Supplier/purchasing rate.

• Transportation costs.

• Storage costs.

• Waste allowance – depending on the material. An allowance of 10% is usually applied as an industry standard.

The material unit rate can be complicated to estimate. The unit rate at which contractors will purchase materials can be different from the way units are measured in the bill of quantities. An example can be the purchase of sand that will be bought from suppliers in tonne. The bill of quantities measurement for sand will be quantified in cubic meters. The estimator will have to convert the merchant’s rate to follow the bill requirements.

= Plant =

To calculate the unit rate of plant the estimator will have different calculations for plant owned by the contractor to plant that is hired in. A contractor that owns his own plant will calculate the ‘all in’ plant rate by looking at the operating cost and the fixed costs.

Operating cost will consist of:

• Fuel.

• Operator wages.

• Other consumables – e.g. fuel.

Fixed Cost will consist of:

• Capital cost for purchasing plant.

• Maintenance cost.

• Tax and insurance.

• Expected operating life.

• Overhead costs including storage and administration.

To establish the hourly rate the estimator will have to calculate the output performance of the plant. The performance of the plant will be influenced by factors on-site like weather and site conditions and can be unique for each project.

The items captured by the estimator for unit rates can include further calculations to include preliminaries and profit and overheads. This will depend on the structure of the bill of quantities and might be separated in different sections in the bill or added onto the unit costs.

= Related articles on Designing Buildings Wiki: =

* Approximate quantities cost plan
* Bills of quantities.
* Budget.
* Capital.
* Contract sum.
* Cost control.
* Cost engineering.
* Cost information.
* Cost of building.
* Elemental cost plan.
* Estimate.
* Estimating
* Estimator.
* Forecast period.
* Initial cost appraisal.
* Market value.
* Measurement.
* New Rules of Measurement.
* Order of cost estimate.
* Outturn cost.
* Overheads.
* Operational Rate estimating
* Pre-tender estimate.
* Tender cost.

[[Category:Construction_management]] [[Category:Cost_/_business_planning]]