Home → EstiMate Version 1 → How Do I... → How do I separate out materials and labor on my estimate?

4.182. How do I separate out materials and labor on my estimate?

I am doing a quote and my customer who wants to see the materials and labor itemized on his quote. Is there a way to do this in EstiMate?

Separating materials and labor in EstiMate: A Tutorial.

Separating materials and labor in EstiMate is possible. This tutorial will outline the process in two ways: a. the short method and b. the longer method.

Separating Out Materials and Labor on an estimate: The short method.

NOTE: The short method assumes you already know or have figured out your material and labor costs via EstiMate or other means. If you are unsure of your material or labor figures, use the Long Method.

1. Click New Estimate > Add item > Free Form. Select the ?Flat Rate? entry from the item dropdown, leave the quantity at ?1?, and insert your total selling price for your materials in the ?Price Each? field. Enter a description like ?Materials for Job? or other description that tells the customer this is what they will be paying for materials on the job. Uncheck the quantity discount box (if checked) press the calculate total button, and click the green check mark to add the Free Form item to the estimate.
2. Click Add item > Free Form. Select ?hourly? from the type of item dropdown and choose your design or production rates. Enter the amount of hours it will take to do the job. (Fractional times like 1.5 or 2.75 are accepted) input a description, press calculate total, click the green OK checkmark to add it to the estimate.

NOTE: Alternatively if you are billing at a rate other than your hourly or design rate then consider using the Repeat Labor plug-in (where available) that will allow you to use a custom labor rate of your choosing. You could also total your labor into one charge, and use the flat rate selection in Free Form.

When you have added line items for both material and labor to the estimate proceed to choose a client, save the estimate and print as normal. Proceeding in this way will clearly indicate what you will charge the customer for materials and labor on the job.

Separating Out Materials and Labor on an Estimate: The long method.

1. Click Add item > New estimate > Vinyl Signs. If you are not doing a vinyl sign, select the plug-in of your choice (i.e. Digital Printing, Screen Printed Signs etc.) and proceed to step 2.
2. Price your sign accordingly including all substrate, vinyl selection, coverage, and subjective settings* as you want them. Once you are sure the sign is priced as desired, Click the calculate total button and the green OK checkmark to add the line item to the estimate.
3. Highlight the line item you just created and click the Edit Item button. Double-Click on the subtotal field. The hard numbers will appear.
4. Add the material cost, material markup, and any adjustments to market level. The resulting figure will be your subtotal for materials.
5. Subtract quantity discount, job discount, and rounding (if applicable). The resulting figure will be your final selling price for materials. Make a note of this figure as you will need it later.
6. To obtain your selling price for labor, add design labor, production labor and profit labor together. The resulting figure will be your selling price for labor. Again, make a note of this figure as you will need it later.
7. Click the green OK checkmark twice, once to close the hard numbers and again to OK the line item.
8. Click Add item > Free Form. Enter a description like ?Materials for Job? or other description that tells the customer this is what they will be paying for materials on the job. Leave the quantity at ?1?, and insert the total selling price for your materials you noted in step 5, in the ?Price Each? field. uncheck the quantity discount box (if checked) press the calculate total button, and click the green check mark to add the Free Form item to the estimate.
9. Click Add item > Free Form. Select ?flat rate? from the type of item dropdown and enter the total labor figure you notated in step 6. Leave the quantity at 1, and uncheck the tax box unless you want to tax your labor. Be sure to enter a description that indicates to your customer that this is your charge for labor and the amount of time involved if desired. Click the green OK checkmark to add it to the estimate. NOTE: Alternatively if you are billing at a rate other than your hourly or design rate then consider using the Repeat Labor plug-in (where available) that will allow you to use a custom labor rate of your choosing. You could also total your labor into one charge, and use the flat rate selection in Free Form.
10. On your New Estimate screen you will now see a total of three line items: a vinyl signs line item, and two Free Form line items. Be sure to setup the New EstiMate screen like you want it with all settings including client, salesperson, production time etc. Click the Save icon.
11. Click Print > estimate. The Print A Report Screen will appear. Pay close attention to the lower half of the screen. You will see all three line items on the estimate checked. Important: Uncheck the original vinyl signs entry you did to get the materials and labor figures. You will now see only the two Free Form plug-ins checked.
12. Adjust the remainder of the settings on the Print A Report screen how you want them and click the print icon. The Print Preview screen will appear (or the estimate will begin printing if you did not have the preview box checked). If you see the print preview review the estimate to make sure only the Free Form items are showing and that all other aspects of the estimate appear correctly.
13. Click the print icon and proceed to print as normal.

Congratulations you have successfully created an estimate with separate materials and labor!

Questions and Answers:

Is there a shortcut available so I don?t have to do either method every time I want to do an estimate with separate materials and labor?

Answer: Yes. You can create a template for use with future estimates of this nature. See the estimate knowledge base article on templates located at http://www.estimatesoftware.com/estimate/support/kbase_detail.php?id=1

Why is the adjustment to market level and or other adjustments to profit included in the materials side of the equation?

Answer: It is generally less confusing for the customer this way. You may roll these adjustments to profit into the labor figure instead of materials if desired.

See also: Summary Quoting
http://www.estimatesoftware.com/estimate/support/kbase_detail.php?id=97