Estimation and Valuation Archives - OnlineEngineeringNotes https://onlineengineeringnotes.com/category/estimation-and-valuation/ A Complete Guide to future Engineers Wed, 08 Apr 2026 14:56:03 +0000 en-US hourly 1 https://wordpress.org/?v=6.9.4 Cost of Building a House in Nepal (2026) https://onlineengineeringnotes.com/2026/04/07/cost-of-building-a-house-in-nepal-2026/ https://onlineengineeringnotes.com/2026/04/07/cost-of-building-a-house-in-nepal-2026/#respond Tue, 07 Apr 2026 12:16:15 +0000 https://onlineengineeringnotes.com/?p=1723 Constructing a building in Nepal will be one of the largest financial investments that any family would ever make. Regardless of whether you plan to construct a simple two-story building in Pokhara or a luxurious villa in Kathmandu, knowing the true cost of construction before laying the first brick can prevent future regret and unnecessary ... Read more

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Constructing a building in Nepal will be one of the largest financial investments that any family would ever make. Regardless of whether you plan to construct a simple two-story building in Pokhara or a luxurious villa in Kathmandu, knowing the true cost of construction before laying the first brick can prevent future regret and unnecessary spending.

This article gives you all the necessary information about the cost of constructing a building in Nepal for the year 2026.

The price per square feet will be charged on total built-up space. For instance, a two-story residential building with average quality construction in Pokhara or Kathmandu in 2026 will cost NPR 80-100 lakhs for an area of 1,500 to 2,000 square feet.

1. Construction cost by finish level (2026)

Based on current market quotes from contractors and consultancies across Nepal, construction cost falls into three broad tiers:

a. Basic / budget

NPR 2,800–3,700 per sq ft

  • Simple RCC structure
  • Basic tiles (local grade)
  • Ordinary doors/windows
  • Minimal interior finish
  • Standard paint (cement)
b. Standard / medium

NPR 4,000–6,000 per sq ft

  • Good RCC + earthquake-safe design
  • Better tiles (600×600 or similar)
  • Steel/aluminum doors & windows
  • Standard electrical & plumbing
  • Emulsion or OBD paint
c. Premium / luxury

NPR 6,000–9,000+ per sq ft

  • High-end imported tiles/marble
  • Modular kitchen & wardrobes
  • Aluminum curtain/sliding windows
  • False ceiling & decorative lighting
  • Branded sanitaryware

2. Interactive cost calculator

Use the calculator below to get a quick estimate for your planned house construction in Nepal.

3. What is typically included (and excluded)?

Contractors usually include the following in their price quote per sq ft but make sure you check against a BOQ before signing any contract.

a. Usually Included
  • Standard doors & windows (as per BOQ)
  • Foundation + RCC structure (footings, columns, beams, slabs, staircase)
  • Masonry (brick/block walls)
  • Internal + external plastering
  • Basic floor tiles (ground floor)
  • Basic paint (emulsion/distemper)
  • Basic electrical & plumbing conduits and fixtures
b. Often Excluded
  • Soil testing, structural drawings fees
  • Compound wall, gate, boundary fencing
  • External paving, driveway, landscaping
  • Septic tank / soak pit
  • Waterproofing (terrace, balcony, sunken slabs)
  • Modular kitchen, wardrobes, false ceiling
  • Designer lights, premium sanitaryware

4. Detailed rate analysis (per 100 sq ft basis)

The following table shows the rate analysis of a medium standard RCC Residential House in Nepal, considering the area to be 100 square feet. This rate analysis is done on the same pattern as that of DUDBC District-wise Rate Analysis.

S.N.Description of workUnitQtyRate (NPR)Amount (NPR)
1Earthwork excavation in foundation0.401,800720
2PCC 1:3:6 in foundation bed0.129,5001,140
3RCC 1:1.5:3 (columns, beams, slabs)0.6014,0008,400
4TMT steel reinforcement (Fe 500)kg55985,390
5Brick masonry in CM 1:40.803,5002,800
6Plastering (internal + external) 12mm4.50220990
7Floor tiles 600×600 (1st floor)1.001,2001,200
8Emulsion paint on walls (2 coats)3.50180630
9Basic electrical wiring (conduit + fittings)room1.001,8001,800
10Basic plumbing (pipes + fixtures per room)room1.001,5001,500
11Doors (timber frame + panel, standard)no.0.509,0004,500
12Windows (aluminium sliding, standard)0.307,5002,250
13Labor (skilled + unskilled, overhead)3,500
14Contractor overhead & profit (10%)3,482
Total per 100 sq ft (approx.)NPR 38,302
Unit rate per sq ft (standard finish)≈ NPR 3,830

The rate above represents core structural + basic finish items only. Adding premium finishes, modular kitchen, false ceiling, and imported sanitaryware can push the final rate to NPR 5,500–7,000 per sq ft.

5. Cost breakdown by component

In a standard RCC residential house in Nepal, the cost typically distributes as follows across major components:

6. Current material prices (2026)

Material cost forms roughly 55–65% of the total construction budget. Here are the current market rates for key building materials in Nepal as of early 2026:

7. Labor wages in construction (2026)

Labor cost typically makes up 25–35% of total construction cost. Nepal’s official minimum wage was revised upward by 13% to NPR 19,550/month effective July 2025. Field rates for construction trades vary significantly by location and season.

Category of workerDaily wage (Kathmandu)Daily wage (Outside Valley)Daily wage
(Rural areas)
Season effect
Mason (skilled)NPR 1,500–2,000NPR 1,200–1,600NPR 900–1,200High Oct–Apr
Carpenter (skilled)NPR 1,200–1,800NPR 1,000–1,500NPR 800–1,100High Oct–Apr
Bar bender / steel fixerNPR 1,200–1,600NPR 1,000–1,400NPR 800–1,100Moderate
Plumber (skilled)NPR 1,200–1,800NPR 1,000–1,500NPR 800–1,200Moderate
Electrician (skilled)NPR 1,200–1,800NPR 1,000–1,500NPR 800–1,100Moderate
General helper / unskilledNPR 800–1,200NPR 700–1,000NPR 600–800Lower Jun–Sep

Construction Timing: The best period for construction should be from October to February. These months provide a perfect season for construction after the monsoon; labor is relatively cheaper by 10-20% but quality control becomes difficult during the monsoon.

8. Cost comparison by location

Construction costs in Nepal vary significantly by geography. Here is a comparison of effective cost ranges across different regions:

9. Factors that affect construction cost

a. Finishing level
  • Tiles, paint, doors/windows, and sanitaryware alone can add NPR 1,000–2,500 per sq ft between basic and premium levels. This is the single biggest variable in per sq ft cost.
b. Design complexity
  • Cantilever balconies, curved walls, double-height spaces, irregular floor plans, and multiple toilets all increase RCC and labor cost significantly. Simple rectangular plans are always the most economical.
c. Location & transportation
  • Kathmandu and Pokhara typically cost 10–20% more than rural districts. Remote sites can add 15–30% to material costs due to transport. Access road condition and site logistics matter.
d. Soil & foundation type
  • Poor soil, filled land, or high water table may require deeper foundations, pile work, or soil stabilization costs not captured in standard “per sq ft” averages. Always conduct a soil test first.

e. Contract type

  • Turnkey lump-sum contracts are convenient but can hide overpricing. Item-rate BOQ contracts give full cost transparency and allow you to verify against DUDBC district rates.
f. Steel & cement brand
  • Premium TMT brands (Panchakanya, Jagdamba) cost NPR 10,000–20,000/MT more than locally sourced alternatives. Premium cement brands add NPR 100–200/bag. Do not compromise on structural grades.

10. Tips to control construction cost

  • Get a BOQ contract: Detailed Bill of Quantities will keep any surprise out of the equation. Demand item-rate basis and payment according to completion percentage.
  • Keep things simple: Don’t opt for cantilevers, curves, lots of rooms, and unconventional roofs. Square/rectangular structures are cheapest and seismically efficient.
  • Stage your finish works: Construct first and stage up your tiles, lights, and plumbing fixtures to spread costs. You can make changes due to fluctuating market prices.
  • Refer DUDBC: District-wise rate analysis documentation is published by Department of Urban Development and Building Construction (DUDBC). This document acts as a benchmark reference point.
  • Test your soil: Geotechnical report will help avoid costly foundation revision later. This is particularly critical where there is filled land or water proximity.
  • Always keep a 5–10% margin: Variations, escalations, and other uncertainties will always happen. It’s better to plan ahead for them.
  • Start after monsoons: You will have an entire dry season to construct your building. Plus, you will enjoy cheaper materials and ease of site access.

References:

  • DUDBC (Department of Urban Development & Building Construction), Nepal — District-wise Rate Analysis, 2082 B.S.
  • Dutta, B.N. — Estimating and Costing in Civil Engineering, UBS Publishers.
  • Jadan Construction Group — House Construction Cost Guide Nepal 2026.
  • Ministry of Labour, Employment and Social Security, Nepal — Revised Minimum Wage Notification, July 2025.
  • Nepal Rastra Bank — Inflation and Construction Cost Index, 2025.
  • IS 1200 — Method of Measurement of Building and Civil Engineering Works, BIS.
  • Punmia, B.C. — Estimating and Costing, Laxmi Publications.

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Specification in Civil Engineering https://onlineengineeringnotes.com/2025/04/23/specification-in-civil-engineering/ https://onlineengineeringnotes.com/2025/04/23/specification-in-civil-engineering/#respond Wed, 23 Apr 2025 11:02:04 +0000 https://onlineengineeringnotes.com/?p=1719 1.1 Introduction to Specification Specification is the specific description of project which describe the nature and class of work, material to be used. Importance of specification: Purpose of specification: Writing specification: 1. Description of material 2. Workmanship 3. Tools 4. Work protection 5. Expression 6. Clauses of specification 1.2 Specification of RCC 1. Specification material: ... Read more

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1.1 Introduction to Specification

Specification is the specific description of project which describe the nature and class of work, material to be used.

Importance of specification:
  • Serves as guide for site engineers.
  • Helps to clear misunderstanding and mistake of project.
  • For accurate cost estimation and budgeting.
  • Help to verify and check strength of material.
  • Helps to meet final outcomes of project.

Purpose of specification:

  • To specify nature of work.
  • To estimate quantity and cost.
  • To identify quantity of material.
  • To identify material proportion.
  • To identify type of workmanship.

Writing specification:

1. Description of material

  • Provide clear description of material.
  • Includes brand name and model name.

2. Workmanship

  • Describe level of workmanship.

3. Tools

  • Describe tools and equipment used.
  • Provide rental and purchase requirement.

4. Work protection

  • Instruction to protect project.

5. Expression

  • Use clear and concise language.

6. Clauses of specification

  • Include condition to meet work.
  • Describe warranties or guarantees of work.

1.2 Specification of RCC

1. Specification material:

a. Cement:

  • OPC cement is used i.e. 43 grade & IS 269:2015.

b. Coarse aggregate:

  • Should hard dense and durable material like granite, basalt or limestone.
  • Maximum size should exceed ¼ th of minimum thickness of member.

c. Fine aggregate:

  • Should be clean free from dust, clay and organic material.
  • Fineness modulus should not be more than 3.1 and less than 2.3.

d. Water:

  • Clean water free from harmful impurities like oil, acid etc.

2. Combination of material:

  • Should be M20 grade concrete.
  • Mix proportion of cement, fine aggregate, coarse aggregate and water should be 1:1.5:3: 0.5 by weight.
  • Concrete should mix mechanically using batch mixture.

3. Steel Reinforcement using IS code:

a. According IS 1786:2008, steel bar should have minimum yield strength of 415 N/mm2.

b. Steel bar should be free from rust, oil and any deleterious material.

c. As per IS 456:2000, cover should be measured from outer surface of reinforcement to surface of concrete.

d. Reinforcement should be placed as per drawing.

1.3 Specification of brick masonry

1. Specification of material:

a. Brick:

  • Use 1st class brick.
  • Should be in uniform shape and size.

b. Mortar:

  • Should be good quality and free from lumps.
  • Ratio should be (C:S:W = 1:4:0.5).

2. Combination of material:

a. Brick masonry:

  • Should be laid in English bond.

b. Reinforced brick masonry:

  • Should be laid in Flemish bond.

3. Steel reinforced using IS code:

  • As per IS 432:1982
    • Minimum diameter of steel bar = 6 mm
    • Minimum cover of steel reinforcement = 15 mm
  • Placed in alternative course.
  • Spacing should not be more than 300 mm in horizontal and 450 mm in vertical direction.

1.4 Specification of PCC

1. Material specification:

a. Cement:

  • As per IS 8112, use OPC of grade 43.

b. Coarse aggregate:

  • As per IS 383, nominal size 20 mm.

c. Fine aggregate:

  • Should be free from dust and organic matter.

2. Combination of material:

  • W/C ratio = 0.5
  • (Cement: Sand: Aggregate) =  (1:1.5: 3)

3. Steel reinforcement:

  • As per IS 1786
    • Grade of steel should be Fe500 or Fe415
    • Diameter not more than 16 mm.
  • Spacing not more than 150 mm and not less than 75 mm.
  • Should be free from rust and impurities.

References:

  • Dutta, B.N. – Estimating and Costing in Civil Engineering, UBS Publishers, New Delhi.
  • CPWD (Central Public Works Department), India – Standard Schedule of Rates and Analysis of Rates.
  • IS 1200 – Indian Standard for Method of Measurement of Building and Civil Engineering Works, Bureau of Indian Standards (BIS).
  • Punmia, B.C. – Estimating and Costing, Laxmi Publications.
  • Building Estimation and Costing Notes – Department of Civil Engineering, Pokhara University.
  • MoUD Nepal – Standard Norms and Guidelines for Public Infrastructure Development Projects.

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Valuation in Civil Engineering https://onlineengineeringnotes.com/2025/04/23/valuation-in-civil-engineering/ https://onlineengineeringnotes.com/2025/04/23/valuation-in-civil-engineering/#respond Wed, 23 Apr 2025 07:07:40 +0000 https://onlineengineeringnotes.com/?p=1715 1.1 Introduction Valuation is the technique of estimating or determining the fair price or value of a property such as building, factory, other engineering structure of various types of land etc. 1.2 Purpose of valuation 1.3 Terms used in valuation 1. Value and cost 2. Book value 3. Assessed value 4. Distressed value or forced ... Read more

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1.1 Introduction

Valuation is the technique of estimating or determining the fair price or value of a property such as building, factory, other engineering structure of various types of land etc.

1.2 Purpose of valuation

  • Buying or selling of property.
  • For mortgage as security of loan.
  • For determination of rent.
  • For tax fixation or assessment of taxes.
  • For compulsory acquisition.
  • For fixation of insurance premium.
  • To determine speculation i.e. more than fair price in selling.
  • To determine betterment charges i.e. more than fair price in buying.

1.3 Terms used in valuation

1. Value and cost
  • Value is the present market value of any property which may be higher or lower than cost of construction.
  • Cost means actual cost of construction.
2. Book value
  • It is original investment shown in account book of a company on its asset including properties and machinates.
  • Book value is applicable on building and movable properties but not on land.
  • Book value = Original cost – Total depreciation upto previous year
3. Assessed value
  • Value of any property recorded in record of local authority which is used for the purpose of determining the various taxes to be collected from owner of the property.
4. Distressed value or forced sale value
  • When a property is sold at a lower price than the market value of that time it is called distress value.
5. Replacement value
  • Value of property or its services calculated on the prevailing market rate to replace the same.
6. Retable value
  • Net annual letting value property which is obtained after deducting the amount of yearly repairs from gross income. Municipal and other taxes are charged on the rotable value of property.
7. Potential value
  • Some property like land has an inherent value which may go on increasing due to passage of time or can fetch more return if used for some alternative purpose. This inherent value is known as potential value.
8. Annuity
  • Annual periodic payment for repayment of the capital amount invested in a property or in some other form of investment by a party.
9. Perpetual annuity
  • If the payment of annuity continues for indefinite period, it is known as perpetual annuity.
10. Different annuity
  • If the payment if annuity begins at some future data after a number of years this is known as different annuity.
11. Scrap value
  • Dismantled material value of property at the end of its utility period.
  • 10% of cost of construction in case of building.
12. Salvage value
  • Value of any property at the end of utility period without being dismantled.
13. Gross income
  • Total income from all sources without deducting the outgoing necessary for operation, taxes, maintenance, replacements etc.
14. Outgoing
  • These are the expenses incurred to maintain the property by undertaking periodic repairs.
  • Also, includes government tax, sinking fund, management or collection charge other miscellaneous charges.
15. Net income
  • Amount left after deducting all outgoing, operational and collection expenses from gross income. i.e. Net income = Gross income – Outgoings
16. Capitalized value
  • Amount of money whose interest at the highest prevailing rate of interest will be equal to the net income from the property in perpetuity. i.e. CV = Net income * Year purchase (Y.P)
17. Years Purchase (Y.P)
  • Capitalized value required to be invested in order to receive an annuity of Rs. 1 at the prevailing rate of interest. i.e. Year’s purchase = 100 / Rate of interest
18. Sinking funds
  • It is a fund which is built up for sole purpose of replacement or reconstruction of a property when it loses its utility either at the end of its life span.
  • S = (Sn * R)/(1+R)n-1

Where,

S = Year installment of sinking fund

Sn = Sinking fund to be accumulated in n years

R = Rate of interest

n = Utility period / Life of property

19. Depreciation
  • The gradual decrease or loss in value of a property because of constant structural deterioration, use, wear and tear, decay etc.

1.4 Method of Determining value of property

1. Rental Method
  • In this method the rental income is calculated after deducting all outgoing from the gross rent, years purchase is calculated after adopting the current bank interest and then capitalized value of the property is worked out.
2. Profit based Method
  • Similar to rental method.
  • In this method the net profit is worked out after deducting all possible outgoing and years purchase calculated after adopting current bank interest rate and multiplied by YP to get capitalized value of property.
3. Cost based Method
  • In this method the actual cost incurred in constructing the building or in processing the property is taken as basis to determine the value of property.
4. Development based Method
  • This method of valuation is used for properties which are in the development stage or party developed stage.
5. Depreciation Method
  • Depreciated value of building is directly calculated with the help of formula

i.e. D = P [(100 – rd)/(100)]n

Where,

D = Depreciated value

P = Cost of building

rd = Rate of depreciation

n = No. of years

6. Plinth area Method
  • In this method the resent plinth area rate of similar building in the same locality with the same specification is worked out, multiplied with the plinth area of building whose valuation is to be done and suitable depreciation is allowed.
7. Capital value comparison Method
  • In this method, capitalized value of the property is worked out by direct comparisons with other capitalized value of similar property in the same locality, whose sale records are available.

1.5 Methods of valuation

  • After doing all the valuation works the valuation report is prepared for submitting in the concerned department.
  • The valuation report is divided into three parts:
    • Part I: Detail about property
    • Part II: Valuation calculation
    • Part III: Valuation declaration

Report format:

  • Cover page
  • Table of content
  • Valuation certificate
  • Description of the property
  • Appendix:
    • Introductory details
    • Technical details
    • Area calculation
    • Land value
    • Land ownership certificate
    • Citizenship certificate
    • Drawings
    • Photographs

References:

  • Dutta, B.N. – Estimating and Costing in Civil Engineering, UBS Publishers, New Delhi.
  • CPWD (Central Public Works Department), India – Standard Schedule of Rates and Analysis of Rates.
  • IS 1200 – Indian Standard for Method of Measurement of Building and Civil Engineering Works, Bureau of Indian Standards (BIS).
  • Punmia, B.C. – Estimating and Costing, Laxmi Publications.
  • Building Estimation and Costing Notes – Department of Civil Engineering, Pokhara University.
  • MoUD Nepal – Standard Norms and Guidelines for Public Infrastructure Development Projects.

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Rate Analysis in Civil Engineering https://onlineengineeringnotes.com/2025/04/22/rate-analysis-in-civil-engineering/ https://onlineengineeringnotes.com/2025/04/22/rate-analysis-in-civil-engineering/#respond Tue, 22 Apr 2025 07:20:01 +0000 https://onlineengineeringnotes.com/?p=1712 1.1 Introduction 1.2 Purpose of Rate Analysis 1.3 Importance of Rate Analysis 1.4 Requirement of Rate Analysis 1.5 Factors affecting Rate Analysis References:

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1.1 Introduction
  • Method of determining the rate per unit of particular item of work considering the cost and quantities of material, cost of labor, hire of tools, contractor profit etc. is known as rate analysis.
  • The rate of materials and labor vary from place to place and therefore the rate of different item of work also varies from place to place.

1.2 Purpose of Rate Analysis

  • To determine the actual cost per unit of item.
  • To determine the economical use of material.
  • To determine the cost of extra item which are not provided in contract document.
  • To examine the viability of rates offered by contractor.
  • To calculate the quantity of material and labor strength required for project planning.

1.3 Importance of Rate Analysis

  • It gives clear picture of the various types of labor and material required for completing the particular work.
  • Used to settle dispute between contractor and client.
  • Used for compensation by insurance.

1.4 Requirement of Rate Analysis

  • Correct information of the market rates of material.
  • Correct information of the rates of various categories of labor.
  • Output of labor.
  • Knowledge, rate of out turn of various types plants to be used in the construction work.
  • Upto date knowledge of construction work.

1.5 Factors affecting Rate Analysis

  • Quality of material.
  • Proportion of mortar.
  • Location of site.
  • Facilities available for transportation of labor and material to work site .
  • Overhead charge.
  • Availability of water connection.
  • Possibility of theft of losses.
  • Miscellaneous expenditure.

References:

  • Dutta, B.N. – Estimating and Costing in Civil Engineering, UBS Publishers, New Delhi.
  • CPWD (Central Public Works Department), India – Standard Schedule of Rates and Analysis of Rates.
  • IS 1200 – Indian Standard for Method of Measurement of Building and Civil Engineering Works, Bureau of Indian Standards (BIS).
  • Punmia, B.C. – Estimating and Costing, Laxmi Publications.
  • Building Estimation and Costing Notes – Department of Civil Engineering, Pokhara University.
  • MoUD Nepal – Standard Norms and Guidelines for Public Infrastructure Development Projects.

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Types of Estimates in Civil Engineering https://onlineengineeringnotes.com/2025/04/22/types-of-estimates-in-civil-engineering/ https://onlineengineeringnotes.com/2025/04/22/types-of-estimates-in-civil-engineering/#respond Tue, 22 Apr 2025 06:42:08 +0000 https://onlineengineeringnotes.com/?p=1708 1.1 Approximate Estimates Types: a. Unit rate estimate: b. Plinth area estimate: c. Cubic rate estimate: 1.2 Detailed Estimate Factors to be considered for preparation of detail estimate: 1.3 Revised Estimate 1.4 Supplementary Estimate It is also a detailed estimate and is prepared when additional work is required to supplement the original work. 1.5 Annual ... Read more

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1.1 Approximate Estimates

  • Done to find out approximate cost in short time.
  • This estimate is prepared after preliminary surveying.
  • This estimate is prepared from practical knowledge and cost of similar works.

Types:

a. Unit rate estimate:

  • In this method all cost of a unit quantity such as per km for a highway, per meter for span of bridge, per bed for hospital etc. are considered first and the estimate is prepared by multiplying the cost per corresponding unit by the number of unit of the structure.
  • Buildings:
    • Per student for school/college
    • Per bed for hospital
    • Per seat for cinema hall
  • Road work:
    • Per Km
  • Bridge culvert:
    • Per meter length
  • Irrigation work:
    • Per Km of canal
    • Per hector of command area

b. Plinth area estimate:

  • In this method, plinth area rate of building is adopted from the cost of similar building having similar specification, height and construction in same locality.
  • Plinth area = Carpet area + Circulation area + Kitchen/Toilet + Wall

c. Cubic rate estimate:

  • This estimate is worked out on the basis of cubical content of the proposed building and then multiplying with rate per cubic content.
  • Estimate = Plinth area * height * cubical content rate

1.2 Detailed Estimate

  • It is an accurate estimate which contains very detailed data about project variable such as cost/quantity and price.
  • The dimension of each item are taken out correctly from drawing and quantities of each item are calculated, abstracted and billed.
  • 5-10% of estimated cost for unforeseen item and 2% of work charge establishment should be added.
  • This estimate is accompanied by:
    • Detailed report.
    • Detail specification for the execution of work.
    • Detailed drawing (plans, site plan, elevation etc.)
    • Calculation and design of various item such as beams, slabs etc.
    • Schedule of rates followed and premium if allowed.

Factors to be considered for preparation of detail estimate:

  • Quantity of materials.
  • Availability of materials.
  • Transportation of materials.
  • Location of site.
  • Availability of labor.

1.3 Revised Estimate

  • It is also a detailed estimate and is prepared when the original sanctioned detail exceeds by 5%.
  • Revised estimate is prepared:
    • When a sanctioned estimate is likely to exceed by more than 5%.
    • When the expenditure of work exceeds or is likely to exceeds by more than 10% of the administrative approval.
    • When there is material rate deviation from original proposal.
    • When sanction estimate is more than actual requirement.

1.4 Supplementary Estimate

It is also a detailed estimate and is prepared when additional work is required to supplement the original work.

1.5 Annual repair and maintenance estimate

In order to keep the structure in proper condition annual repair and maintenance are carried out. The estimate prepared for this purpose is known as annual repair and maintenance estimate.

1.6 Extension and improvement estimate

When some changes and extension are required to be made in the old work, a detailed estimate of extension and improvement work is carried out which is called as extension and improvement estimate.

1.7 Complete Estimate

  • In complete estimate following should be included:
    • Cost of land.
    • Cost of preliminary work.
    • Cost of preliminary design, drawing and estimate.
    • Cost of detailed design, estimate, specification and contract documents.
    • Cost of electricity, water supply and sanitary work.
    • Cost of design and supervision charges
    • Cost of external service.
    • Cost of repair and maintenance.

1.8 Split up of cost and building work

a. General split up:

  • Labor cost = 30-35% of total cost
  • Material cost = 65-70% of total cost

b. Stage wise breakup:

  • Construction below plinth level = 10-15% of total cost
  • Construction above plinth level = 85-90% of total cost

c. Activity wise breakup:

  • Foundation work = 17-18%
  • Brickwork/block work = 20%
  • Concreting and reinforcement steel = 15%
  • Door, windows and ventilation = 12%
  • Roof water proofing & finishing = 5%
  • Plastering = 5-6%
  • Flooring = 5%
  • Painting = 2-3%
  • Water supply and sanitation = 12-13%
  • Other work = 4-5%

References:

  • Dutta, B.N. – Estimating and Costing in Civil Engineering, UBS Publishers, New Delhi.
  • CPWD (Central Public Works Department), India – Standard Schedule of Rates and Analysis of Rates.
  • IS 1200 – Indian Standard for Method of Measurement of Building and Civil Engineering Works, Bureau of Indian Standards (BIS).
  • Punmia, B.C. – Estimating and Costing, Laxmi Publications.
  • Building Estimation and Costing Notes – Department of Civil Engineering, Pokhara University.
  • MoUD Nepal – Standard Norms and Guidelines for Public Infrastructure Development Projects.

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Methods of Estimation in Construction https://onlineengineeringnotes.com/2025/04/22/methods-of-estimation-in-construction/ https://onlineengineeringnotes.com/2025/04/22/methods-of-estimation-in-construction/#respond Tue, 22 Apr 2025 04:46:25 +0000 https://onlineengineeringnotes.com/?p=1705 1.1 Introduction and Importance of Estimation Importance of Estimation: 1.2 System of Unit 1.3 Units of Measurement and Payment for items of work and Materials S/N Description of work Units of measurement Units of payment 1 Earthwork     a E/W in excavation m^3 per m^3 b E/W in filling m^3 per m^3 c Surface ... Read more

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1.1 Introduction and Importance of Estimation
  • Estimation is the process of predetermining of cost and size of any works. Also, in other words it is the process of calculating the quantity and cost of various item required in proposed work.
Importance of Estimation:
  • To fix budget for the proposed project.
  • To calculate required quantities of materials and number of labors for proposed projects.
  • To draw up a work schedule for proposed project.
  • To prepare tender document for the project.
  • To prepare valuation of land and building.
  • To fix up a completion period of the proposed project.

1.2 System of Unit

  • In general, the units of different item of work are based on following principle.
  • Mass, voluminous and thick work: L*B*H = m3
  • Shallow, thin and surface work (thickness < 75 mm): L*B = m2
  • Linear work/ long and thin works: L = Running meter
  • Pierce works/ job works: Number

1.3 Units of Measurement and Payment for items of work and Materials

S/NDescription of workUnits of measurementUnits of payment
1Earthwork  
aE/W in excavationm^3per m^3
bE/W in fillingm^3per m^3
cSurface dressingm^2per m^2
dQuarrying of stone or boulderm^3per m^3
eBlasting of rockm^3per m^3
fRock excavationm^3per m^3
2Brickwork  
aFlat brick soilingm^2per m^2
bBrickwork in foundationm^3per m^3
cBrickwork in cornice, capping, drip coursemper m
   
dHalf brick thin wallm^2per m^2
3Stonework  
aStone masonry, Random rubble masonry in wallsm^3per m^3
   
bStone slab in roofing, shelve etcm^2per m^2
cStone work in wall facing or liningm^2per m^2
   
4Concret work  
aPCC in foundationm^3per m^3
bLime concrete in foundationm^3per m^3
c75 mm thick pccm^2per m^2
dDPC (thickness specified)m^2per m^2
eRCC workm^3per m^3
fFormworkm^2per m^3
gPrecast PCC and RCCm^3per m^3
5Woodwork  
aWoodwork indoor and window framem^3 per  m^3
   
bWoodwork in rafters, beam, roof trussesm^3 per  m^3
   
cTimbering of trenches, boarding etc.m^2 per  m^2
   
dPlywood, window and door shuttersm^2 per  m^2
   
eWoodwork in partitionm^2 per  m^2
fBelliesm per  m
6Flooring work  
aSand fillingm^3 per  m^3
bMosaic flooringm^2 per  m^2
cMarble flooringm^2 per  m^2
dScreedm^2 per  m^2
eCement sand punningm^2 per  m^2
7Finishing work  
aPlaster workm^2 per  m^2
bPainting workm^2 per  m^2
cSkirtingm^2 per  m^2
dWhite washing, color washing, cement washingm^2 per  m^2
   
eDistemperingm^2 per  m^2
fEnamel painting on door and windowm^2 per  m^2
   
gPainting letters and figuresNo. per  No.
8Roofing work  
aTiled roofingm^2 per  m^2
bTile on ridge of roofm per  m
cCGI roofm^2 per  m^2
dAsbestos Cement (AC) sheet roofm^2 per  m^2
   
eStable roofing, timber roofingm^2 per  m^2
9Steel work  
aSteel reinforcementquintal per  quintal
bChannels, Angles, I-section, Beam etc.quintal per  quintal
   
cBending, binding of steel reinforcementquintal per  quintal
   
dIron work in trussquintal per  quintal
eIron gatem^2 per  m^2
fIron grill, collapsible gatem^2 per  m^2
gRolling Shutterm^2 per  m^2
hSteel door and windowm^2 per  m^2
iThreading in ironcm per  cm
jBoring holes in ironno. per  no.
10Miscellaneous items  
aCutting treesno. per  no.
bRailingm per  m
cPile drivingm per  m
dPipe layingm per  m
eSite clearance workm^2 per  m^2
fFurnitureno. per  no.
gFixing door and windowno. per  no.
hBituminous road surfacingm^2 per  m^2
iWater closet (W.C), Wash Basinno. per  no.
jElectric wiringpoint per  point
kGrouting work in crackm per  m
lGrouting work in roadm^2 per  m^2
11Material  
aBrickno. per  no.
bCementbag of 50 kg per  bag of 50 kg
cSandm^3 per  m^3
dAggregatem^3 per  m^3
eBrick, ballast, stone ballastm^3 per  m^3
fSteelquintal per  quintal
gBitumenton per  ton
hAc sheetm^2 per  m^2
iSwitches, plugs, bulbs etc.no. per  no.
jPipem per  m
kExplosive for blastingkg per  kg
lVarnish oilliter per  liter
mPaintliter per  liter

1.4 Requirement of Estimating

1. Drawings:

  • Drawings are required for the calculation of the quantities of the materials.
  • It shows plans, elevation, different section and other relevant detail with clear and complete dimensions.

2. Specification:

  • Specification describes the nature and class of the work, material to be used, workmanship and is very important for execution of work.

Types of specification:

a. General specification:

  • This gives a general idea about the nature, quality, class and material in general terms to be used invarious types of work.

b. Detailed specification:

  • This gives the detailed description of the various items of work laying down the quantities and qualities of material, their proportions, method of preparation, workmanship and execution of work.

3. Rates:

  • Rates are essential for the computation of estimate by multiplying quantities of materials with unit rates.
  • Rates include of various material to be used in the construction, cost of transport materials, wages of labor.

4. Method of measurement:

  • Updated mode of measurement for standard deduction or additions are also necessary to determine the correct quantities of work.

1.5 Methods of measurement of building and civil engineering works

1. Earthwork

  • Measurement in m3.
  • Includes throwing of excavated earth at least one meter clear of the edge of excavation.
  • Dressing or trimming, levelling or grading, ramming and consolidation thickness of each layer can be describe and include in the item of earthwork.
  • No separate measurement is taken for setting out works or site clearance.

2. Concrete work

  • Measurement in m3.
  • No deduction is done for opening upto 0.1 m2 (1 sq.ft).
  • No deduction shall be made for volume occupied by reinforcement.

3. Brickwork

  • Measurement in m3.
  • Deduction for doors, windows and other opening including lintel.
  • Different kinds and classes of brickwork shall be taken under separate item.

4. Plastering work

  • Measurement in m2.
  • Plastering of all roofs ceiling, walls etc shall be measured under separate item.
  • No deduction is done for joints, beam upto 0.5 sq.m or 5 sq.ft.

5. Painting work

  • Measurement in m2.
  • Different types of surfaces such as steel, wood, concrete etc shall be taken under separate item.

1.6 Subheads of various item of work

  • Earthwork
  • Concrete work (a. PCC work b. RCC work)
  • Masonry work (a. Brick work b. Stone work)
  • Wood work
  • Flooring work
  • Finishing work (a. Cement plaster work b. Painting work c. Roofing work)

1.7 Various Methods of Taking Out Quantities

1. Centre Line Method:

  • This method is suitable offsets are symmetrical and the building is more of less rectangular in shape.
  • According to this method, total length of centerline of wall is calculated and this length is multiply by corresponding breadth and height of item of work to find its quantity.

2. Long Wall and Short Wall Method:

  • According to this method, the long wall is consider first and the wall perpendicular to this wall is consider as short wall.
  • The long wall is measured from out to out and the short wall is measured from in to in. After, finding the length of wall, this length is multiplied by corresponding breadth and height of item of work to find quantity of that item.
  • Used for building having unsymmetrical layouts, wall for varying thickness, height etc.
  • Upto plinth level from footing we can use this method to estimate the quantity.

3. Crossing Method:

  • In this method, length and breadth of the masonry walls at plinth level are taken (internal dimension of room + thickness of wall) for calculating quantities.
  • The center line length is obtain by calculating the overall perimeter of building and subtracting four times thickness of wall on it.

1.8 Abstracting Bills of Quantities

  • A bill of quantities is a document used in tendering process which includes the materials, parts and labor with respect to their cost.
  • It is also a detail term and condition of the construction or repair contract and itemizes all work to enable a contractor to price the work for which he/she is bidding.

References:

  • Dutta, B.N. – Estimating and Costing in Civil Engineering, UBS Publishers, New Delhi.
  • CPWD (Central Public Works Department), India – Standard Schedule of Rates and Analysis of Rates.
  • IS 1200 – Indian Standard for Method of Measurement of Building and Civil Engineering Works, Bureau of Indian Standards (BIS).
  • Punmia, B.C. – Estimating and Costing, Laxmi Publications.
  • Building Estimation and Costing Notes – Department of Civil Engineering, Pokhara University.
  • MoUD Nepal – Standard Norms and Guidelines for Public Infrastructure Development Projects.

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