Contractor Markup Calculator
Contractor Markup
Calculate the proper markup and final price for construction and contracting jobs
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Formula
Final Price = (Direct Cost + Overhead) x (1 + Markup Percentage)
Frequently Asked Questions
What is a typical contractor markup?
Most contractors use a markup of 15 to 35 percent on top of direct costs and overhead. The exact percentage depends on job complexity, market conditions, and specialization.
What is the difference between markup and margin?
Markup is the percentage added to cost to determine the selling price. Margin is the percentage of the selling price that is profit. A 25 percent markup equals about a 20 percent margin.