One of the biggest profitability killers in construction is underestimating labor.

When you guess at labor costs instead of calculating the true hours required, you risk eating into your margins.

In this post, we’ll explain why accurate man-hour calculations are crucial and show you how our estimating templates help you get it right every time.

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Why Accurate Man-Hour Estimates Matter

– Prevent Surprises: Underestimating hours can lead to cost overruns and frustrated clients.
– Boost Profitability: Correct labor estimates mean you’re pricing construction jobs profitably from day one.
– Improve Scheduling: By knowing true labor needs, you can schedule crews more effectively and avoid delays in your project timeline.

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How Our Templates Help

1. Production Rate Customization

Input your company’s unique production rates into our construction estimating software so the template calculates labor hours that reflect your team’s actual speed. This customization ensures a more accurate estimate for each project.

2. Detailed Estimates
Break down a construction project into tasks and subtasks. The template will generate man-hour estimates for each part, ensuring no detail is overlooked. This level of detail when job costing makes it easier to pinpoint where you are profitable and where you are losing money.

3. Adjusting & Refining
As you gather real-world data from completed projects, you can refine your production rates for even greater accuracy on future labor estimates. Continuous improvement in your estimating process leads to higher profit margins and better client satisfaction.

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Conclusion
Accurate man-hour calculations mean no more guesswork or eroding profits. By leveraging our estimating templates, you’ll create labor cost estimates that set your projects up for success from the start.