Job Costing and Profitability Tracking Workflow

Steps

1. 1

   Pre-Job Setup

   Before starting, record: quoted price, estimated hours, estimated consumable cost, and any special equipment needed. This is your baseline.

   Track per job:\n- Quote amount\n- Estimated labor hours\n- Estimated consumable cost\n- Equipment rental (if any)\n- Travel/fuel cost\n- Subcontractor cost

2. 2

   Time Tracking

   Log actual hours daily: setup time, grinding time, cleanup time, and travel time. Use simple app or paper timesheet. Include all crew members.

   Pro tip: Most contractors underestimate setup and cleanup time by 30-50%. Track it separately to see the real picture.

3. 3

   Consumable Tracking

   Record all segments, pads, and chemicals used per job. Note: starting inventory, ending inventory, and any waste/damage.

4. 4

   Unexpected Costs

   Log any unplanned expenses: extra passes needed, equipment repair, additional materials, or scope changes not covered by change order.

5. 5

   Post-Job Calculation

   Calculate actual profit: Revenue - (Labor + Consumables + Equipment + Overhead + Unexpected). Compare to quoted margin.

   Profitability formula:\nActual Profit = Invoice Amount - All Actual Costs\nProfit Margin = Actual Profit / Invoice Amount x 100\n\nTarget: 30-50% margin\nWarning: <20% margin\nLoss: <10% margin

6. 6

   Lessons Learned

   Document: what went wrong (if over budget), what went right, and pricing adjustments for similar future jobs. Feed back into quoting process.

Tools Required