Construction Markup Calculator
Calculate the right bid price for your construction project. Factor in overhead, contingency, profit targets, and bond costs to ensure every tender is profitable.
Project Inputs
Labour, materials, equipment, subcontractors
Office, admin, insurance, non-project staff
Your desired net profit margin on the bid
Buffer for unforeseen costs and scope changes
Performance bond premiums, CAR insurance
Estimating, site visits, document prep
This calculator uses the margin-based formula: Bid = Pre-Profit Total / (1 - Profit Rate). This ensures your profit target is a percentage of the final bid price, not just a markup on costs.
AED 670,833
Total bid amount
34.2%
Over direct costs
AED 67,083
10.0% of bid price
Detailed Breakdown
Cost Breakdown
Direct Costs
AED 500,000
Overhead
AED 75,000
Contingency
AED 28,750
Profit
AED 67,083
Profit Scenario Comparison
| Scenario | Profit % | Bid Price | Markup % | Net Profit |
|---|---|---|---|---|
| Conservative | 5.0% | AED 635,526 | 27.1% | AED 31,776 |
| Your TargetYour target | 10.0% | AED 670,833 | 34.2% | AED 67,083 |
| Moderate +5% | 15.0% | AED 710,294 | 42.1% | AED 106,544 |
| Aggressive +10% | 20.0% | AED 754,688 | 50.9% | AED 150,938 |
How to Use This Calculator
Enter Your Costs
Input your direct project costs, overhead rate, and any bond or bid preparation expenses. These form the cost base of your bid.
Set Targets
Choose your profit target percentage and contingency buffer. The calculator uses margin-based pricing to protect your bottom line.
Review & Compare
Analyze the bid price breakdown, compare scenarios at different profit levels, and export your calculation for your bid submission.
Frequently Asked Questions
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