How to Estimate a Computer Job

by Alan Hughes

If your business needs a computer job done, or if you are considering doing a computer job for another business, you need to estimate how long the job will take and how much it should cost. Having a good idea of what the cost of a job should be can save you money as a customer. If you're doing the job for someone else, it's even more important that you know how to accurately estimate the job. Time and cost estimates often depend on the complexity of the job and the skill level of the person performing the work.

Determine and document the job requirements with as much detail as possible to avoid scope creep, a client's persistent change in requirements which can add time and cost, or even derail your project. It is likely that the requirements will change as you get into performing the work, but getting the most complete list possible before beginning the task will help you minimize changes in the scope of the job. Regardless of which side of the equation you're on, you'll have a more accurate estimate by nailing down the job requirements early. As a customer, your work is done. As a contractor, your work is just beginning.

Break the requirements down into measurable tasks and estimate the hours required for each task. Completion times will differ based on skill level and task complexity, but you should be able to come up with a minimum, average and maximum time for each task. For instance, if you're estimating a network installation you might allow for two hours to install a network cable, depending on the building layout, length of the cable run and ease of access. For some jobs, a site survey is essential at this point.

Assign your employees to tasks according to skill level and experience, and correlate them to the estimated minimum, average and maximum task times. You can subsequently determine the approximate time for each assignment. It's usually best to add about 10 percent to the expected time to account for unexpected issues, personnel changes or other disruptions to your plan. Assign an hourly rate that includes your costs and profit margin, and price the tasks accordingly.

Gather pricing information on any equipment that is required for the job. This includes customer equipment and equipment that you'll need to complete the work. If you have to run cable through a three-foot brick firewall, you may need to purchase an extended drill bit, adding to your cost for the project. While you may not charge the client for the equipment, you need to know that you'll have to spend funds to acquire or rent it. Don't forget to include sales taxes, if applicable. Put the information into a spreadsheet and be sure the calculations are correct. A careless mistake at this point can be costly to your company.

Prepare a formal quote for your client that includes all costs, times and any qualifying conditions. Include a paragraph on changes in the project requirements to be sure that everyone understands that anything not included in this quote will involve additional costs. Also include a signature line for both you and your client, so that each of you signs off on the agreed work.

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