Professional Documents
Culture Documents
Estimation
March 2020
CEU 281
Continuing Education from the
American Society of Plumbing Engineers
ASPE.ORG/ReadLearnEarn
READ, LEARN, EARN: Plumbing Cost Estimation
Note: In determining your answers to the CE questions, use only the material presented in the corresponding continuing education article. Using information from other
materials may result in a wrong answer.
Plumbing systems contribute to a significant portion of building construction, and controlling their costs helps control the total cost of con-
struction. This chapter discusses the fundamentals of cost estimation and several approaches peculiar to plumbing and related systems including
plumbing fixtures, sanitary and storm drainage, water supply systems, natural gas distribution, fire sprinkler systems, medical gas systems, site
irrigation, compressed air systems, and various fluid distribution systems such as foodservice, pharmaceutical, and industrial pipe systems.
Plumbing cost estimation applies to a fully designed project, changes to a project during construction, or a project in its early design.
Fundamentally, any cost estimation applies known information, called a database, to a proposed project to obtain an approximate cost
of the project. The approximation is more accurate if the database is similar to the proposed project and any differences are recognized
and appropriately adjusted. An engineer with sufficient experience with similar projects is able to apply that historical information to a given
project and adjust it where the project is slightly different. Generally, parts of a project are proportional to quantities such as lengths, weights,
volumes, or areas, but other factors may affect the estimate such as difficult access, varied labor rates and jurisdictions, tax rates, new work
vs. renovation, occupied vs. unoccupied buildings, grade of material, and varied local regulations. For example, hanging a pipe at a very high
elevation (e.g., 20 feet) costs more than hanging a pipe at a typical elevation (e.g., 10 feet).
A simple cost estimate applies a known unit cost of material to the quantity required in a project. For example, an estimator may apply $20
per foot of pipe to 200 feet required in a project to arrive at $4,000 for the pipe, or in an early stage, such as schematic design, an estimator
may apply $2 per square foot for fire sprinklers to 100,000 square feet. Similarly, in a preliminary design, an estimator may apply $4,000 per
plumbing fixture, which includes a rough-in cost, but will recognize later that not all fixtures cost the same.
A more elaborate estimate gets its accuracy by breaking the parts of construction into many parts, generally by pipe diameter and pipe
material. Thus, the cost estimate is not merely proportional, but it is proportional for each part that has a quantity. Estimators also split the
cost of materials from the cost of labor. Lastly, the estimator adds costs that do not vary much between projects—the so-called fixed costs.
A further elaboration recognizes labor crews of various wage rates and productivity. For example, a crew of three plumbers, each with a
different labor rate and productivity rate, has a certain overall productivity rate for a given pipe diameter and material. Another elaboration
recognizes a slower productivity rate for labor working beyond eight-hour days or 40-hour weeks.
Regarding rounding up or down, the common engineering practice of rounding to three significant digits should be practiced in cost
estimating. However, calculated money is often left rounded to the penny or dollar. To maintain accuracy in cost estimating, drastic rounding
up to a number that looks presentable, such as $851 rounded to $900, should be avoided except for the final grand total.
COST COMPONENTS
Plumbing construction costs can be broken down into the following components:
• Materials
• Equipment (rented or owned)
• Labor
• Subcontracts
• Other miscellaneous costs such as per diem, permits, trucking expenses, etc.
Materials include fixtures, appurtenances, and commodity items such as pipe, fittings, valves, pipe supports, sleeves, access panels, low-
voltage wiring, firestopping, insulation, drains, cleanouts, and fixture carriers. An estimator may also include purchased services as materials
since a purchase order is written. The services may include material handling, equipment rental, surveyors, insulators, firestopping installers,
medical gas certifiers, laboratory services, waste handlers, and waste reclaimers.
Plumbing appurtenances may include water heaters, water treatment devices, and medical plants but also may include accessories such as
interceptors, pumps, alarms, water meters, backflow preventers, pressure vessels, and sump pumps.
Estimators enter labor costs in terms of labor hours. For example, two hours of labor for a portion of a project may be one plumber
working two hours or two plumbers working one hour each. If the hourly labor rate is the same for both plumbers, the estimated labor cost
is the same, so quantifying the number of plumbers in the estimating effort is not necessary.
The following parts of a labor rate are applied to the gross wage rate to reflect an hourly labor rate of construction:
• Social Security and Medicare taxes that employers pay
• Workman’s compensation insurance premiums
Equation 4-1
E1 = (QMd) + (HLw)
where
E 1 = Estimate of one category of construction
Q = Quantity of each material on a specific job
M = Price of each material, typically taken from a vendor’s catalog
d = A multiplier, such as 0.65, to represent a contractor’s discount
H = Quantity of each labor activity (may be equal to Q)
L = Time for a single worker to do each type of activity
w = A multiplier to represent the hourly cost for such a worker including taxes, insurance costs, and benefits
Equation 4-2
Et = Sum (E1, E2, E3…En) m + O
where
E1 = Estimate of one category of construction
E2, E3= Estimate of other categories of construction
n = Total number of categories
m = Total markup, a product of factors such as geography, job size, contingency, sales tax, and contractor
overhead
O = Sum of fixed costs
Et = Total of construction estimate
3 Read, Learn, Earn March 2020
READ, LEARN, EARN: Plumbing Cost Estimation
Table 4-1 Piping Take-Off Sample Using 1-in. Copper Type L, 50/50 Solder
Unit Material Total Material Number of Unit Labor Total Labor
Item Quantity
Cost Cost Joints Hours Hours
Pipe, ft 237 $2.05 $486
Couplings 24 1.56 37 2 0.25 12
Elbows 19 1.78 34 2 0.25 9.5
Tees 5 4.03 20 3 0.25 3.8
Ball valves 2 31.80 64 2 0.25 1
Hangers (ring
46 3.48 160 0.50 23
type)
Subtotal $801 Subtotal 49.3
– Material deduction discount (35% = $280) $521 + Elevated work adjustment (10%) 54.2
x Wage rate ($110/hr) $5,962
Total (materials subtotal + labor subtotal) = $6,483
a Chain trencher refers to a gasoline-driven trenching machine, which digs a maximum of 10 in. wide x 3-1/3 ft deep.
b Add hand grading for mechanical trenching only if required.
Table 4-3 Time to Saw Cut 100 ft (30.5 m) of Concrete Trench Table 4-4 Time to Break 100 ft (30.5 m) of
Depth, in. (mm) Hours Pavement
Method Material Width Hours
3 (75) 5
Pneumatic 24 in. (600
4 (100) 6 Concrete 10
hand tool mm)
5 (125) 7
PRODUCTIVITY RATES
Tables 4-2 through 4-8 provide common labor units. Table 4-9 provides some adjustments for various job conditions. The infor-
mation is derived from the Plumbing-Heating-Cooling Contractors Association (PHCC) and is based on surveys solicited of 150
plumbing contractors from all areas of the United States.
Notice the cost difference between hand trenching and machine trenching in Table 4-2. For example, a 3-foot (0.91-m) deep
trench that is 100 feet (30.5 m) long takes two or three hours by machine and up to 48 man hours by hand. Four hours of additional
time is applied to the machine method if hand grading is required. For hand work, the volume should be adjusted to reflect a typical
24-inch (609.6-mm) trench width for excavation and backfill volumes. For exterior work or other clear spaces that accommodate
larger machinery, hours may be reduced more substantially than indicated. Saw-cutting may be faster than shown in Table 4-3 if
space allows for larger equipment. Breaking pavement with heavier pneumatics or removing whole pieces of cut concrete can reduce
the times shown in Table 4-4.
Table 4-5 shows that the time to hand backfill (17 hours) and me-
Table 4-8 Time to Install Fixtures
chanically backfill (one hour) a 3-foot (0.91-m) deep trench that is 100
feet (30.5 m) long is 18 hours total. The same table shows that the time Fixture Type Hours
to do it by machine (mechanical backfill and mechanical compaction) is Bathtub 3
1.8 hours. Notice in Table 4-6 that completing a single 4-inch (100-mm) Drinking fountain Wall mount 2
threaded joint takes the most time (one hour), and completing a single
Lavatory Wall mount 2
hubless joint takes the least (0.4 hour). (Not shown are joining methods
and materials such as press fit, CPVC, and PEX.) Lavatory Counter 2.5
Mop basin 2
Example 4-1
Using Tables 4-2 and 4-5, estimate the cost to excavate and backfill a Shower Built-up stall 1
5-foot (1.52-m) deep trench that is 210 feet (64 m) long by machine Sink Single compartment 2
(long length method). Final hand grading will be required, the pipe will Sink Double compartment 2.5
be 4 inches (100 mm), and spoils will be used for backfilling. Service sink 3
Solution: Select the required unit labor and apply it to the trench
Urinal Wall mount 2.8
length. Add the equipment rental charge (or ownership hourly rate).
Table 4-10 shows the take-off tabulated solution. Urinal Stall 3.8
utility availability, and general business conditions. The size of a job usually affects unit costs, and larger projects typically exhibit
lower unit costs due to economies of scale. The location of a job affects shipping costs as well as the market for skilled labor.
For repair work and alterations, consider slower work productivity because of limited physical access, material-handling restric-
tions, more precise cutting to match existing systems, efforts to protect existing finishes, nonstandard work hours, unexpected
delays, unplanned piping offsets, and unfavorable economies of scale.
For cost estimating changes to an ongoing construction project, other cost factors may be necessary even though they were
not applied to the original estimate. For example, a change in the project may need to occur out of the planned sequence, the
timeframe may be constricted, or the plumbing change may now be within a finished space.
RECONCILING ESTIMATES
Since cost estimating involves the matching of specific project information with a database of known construction costs, variations from
the database will affect the cost estimate, and an appropriate adjustment must be used to arrive at an accurate estimate. The amount of the
adjustment involves many factors, from geography to job size. The estimator’s experience determines the best adjustment, while the estima-
tor’s careful examination of the specific project provides the needed information to match with established unit costs.
In many projects, two separate cost estimates are done. Usually the construction manager does an estimate during different points during
the design, and either the design firm or the owner hires a separate estimating consultant for a parallel estimate. Then, either the designer/
engineer reviews and reconciles the estimates for accuracy or a meeting is held among all parties to reconcile the two estimates. This assures
the owner that the cost is accurate and nothing was missed in the estimate.
Since the design becomes more precise as the project progresses, the accuracy of estimates at the different stages of design may vary.
Early estimates are sometimes identified to have an accuracy expressed as a percentage of the cost. For instance, at the schematic stage, the
estimate has a ±15 percent accuracy, and as the design progresses to the CD level, the accuracy improves since the drawings show more detail
to get a more accurate material take-off.
In conclusion, seasoned judgment and a tedious review of the project documents will yield an accurate prediction of plumbing costs.
Expiration date: Continuing education credit will be given for this examination through March 31, 2021.
Thank you to Tony Furst, MSEd, CPD, LEED AP of the West Coast Florida Chapter for authoring this month’s quiz.
1. Which of the following is not part of a typical plumbing system? 7. Adjustments should be made to standard labor hours for which of the
a. Medical gas systems following?
b. Site sanitary piping a. Working in a tunnel
c. Building water supply piping b. Working unsupervised
d. Plumbing fixtures and drains c. Using all apprentice labor
d. Providing shift labor
2. A variable crew mix on a project results in a(n) _____ productivity rate. 8. Productivity rates can be improved when using _____ rather than
a. higher ______.
b. lower a. Subcontractors, in-house personnel
c. overall b. Heavy equipment, portable machinery
d. negative c. Day labor, Journeyman
d. Mechanical equipment, hand tools
3. More elaborate estimates gain accuracy by breaking the parts of the
construction down by ___. 9. A per-fixture estimating method can be performed without a piping
a. different shifts and wage rates layout, however is does not distinguish between fixtures ___.
b. labor and material a. Concentrated and spread out
c. productivity rate b. of varying trim levels
d. pipe diameter and pipe material c. Installation difficulty
d. Contractor skill level
4. Which of the following is not a typical cost component of a plumbing
estimate? 10. Providing an estimate at the conceptual or schematic design phase is
a. Pipe, Valves and Fittings generally accomplished using ___.
b. Labor a. Historic cost data method
c. Rental Equipment b. Average fixture count method
d. OSHA Fines c. Building type method
d. Square footage method
5. An adjustment to the sum of the project costs is called markup, which
usually includes ____ and _____ 11. While using the internet to obtain material pricing is quick and easy it
a. Labor, Material may not accurately reflect ___.
b. Permits, Fees a. Contractor discount
c. Safety factor, Margin b. Local market conditions
d. Overhead, Profit c. Project pricing agreements
d. Actual wholesale cost
6. Estimating a completed design usually results in a ______ contingency
as compared to a schematic or conceptual design. 12. Repair and alteration work generally results in increased project costs
a. Larger due to ___.
b. Smaller a. Lower work force productivity
c. Similar b. Owner challenges
d. Negligible c. Space constraints
d. All of the above