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//// Business · Construction

Change Order Price Calculator

Materials, labor hours, overhead, and markup → total change order price and margin. Price on-site scope changes in seconds.

Where this fits

📦 Business & Seller OpsGoing 1099FreelancersFounders

This tool lives inside Going 1099 and is most useful for freelancers and founders.

Corp Tax Rate21%
SE Threshold$400
FICA Cap 2024$168,600

Change Order Details

Change Order Summary

This change order prices out at $2,704.80 — $450.80 in margin at 16.7% on the change.

Materials (marked up)
$1,656.00
from $1,200.00 raw
Labor cost
$760.00
8 hrs × $95.00/hr
Overhead
$294.00
15% of direct cost
Total change order
$2,704.80
16.7% margin

Cost Breakdown

Materials (raw)

$1,200.00

Labor cost

$760.00

Overhead (15%)

$294.00

Markup (20%)

$450.80

Total Change Order Price

$2,704.80

Margin on this change

16.7%

1

Labor cost

laborCost = laborHours × laborRate

= 8 hrs × $95.00/hr

= $760.00

Straight time — add a separate overtime multiplier if needed

2

Direct cost (materials + labor)

directCost = materials + laborCost

= $1,200.00 + $760.00

= $1,960.00

3

Overhead

overhead = directCost × overheadPct

= $1,960.00 × 15%

= $294.00

Covers supervision, insurance, equipment, office — typically 10–20%

4

Cost with overhead

costWithOverhead = directCost + overhead

= $1,960.00 + $294.00

= $2,254.00

5

Markup

markup = costWithOverhead × markupPct

= $2,254.00 × 20%

= $450.80

Applied after overhead so you're marking up your true cost, not just direct cost

6

Total change order price

total = costWithOverhead + markup

= $2,254.00 + $450.80

= $2,704.80

7

Margin on this change

margin = markup ÷ total

= $450.80 ÷ $2,704.80

= 16.7%

Margin and markup are different: 20% markup = 16.7% margin. Margin is the safer number to share with clients.

Key insight

Always apply overhead before markup — marking up only direct cost leaves money on the table. A 20% markup on cost = 16.7% margin, so know which number you're quoting clients.

Use this result in →

📐Project Rate Estimator📊Project Profitability⚖️Break-Even Calculator

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