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Guide

Quantity takeoff vs cost estimate: what is the difference?

A takeoff counts and measures. An estimate prices what was counted. Here is which one you need and what each contains.

By the MassBid Estimation team · Published · Updated

In short

A quantity takeoff is a measured list of everything a project needs: areas, lengths, volumes and counts, taken from the drawings. A cost estimate takes those quantities and prices them with material, labor and equipment, then adds general requirements, overhead, profit, contingency and tax to reach a bid. Every estimate contains a takeoff; a takeoff on its own contains no prices.

Takeoff answers
How much of each item is needed?
Estimate answers
What will it cost to build?
Takeoff units
Square feet, linear feet, cubic yards, pounds, each
Estimate adds
Unit prices, labor hours, markups and a total
Who uses a takeoff
Suppliers, and contractors who price their own work
Who uses an estimate
Contractors bidding a job, and owners setting a budget

What a quantity takeoff is

A quantity takeoff is the measuring step. An estimator goes through the drawings sheet by sheet and records how much of each item the project needs: concrete in cubic yards, rebar in pounds, drywall in square feet, pipe in linear feet by diameter, doors and fixtures by count.

A good takeoff also shows where each number came from. Ours come with marked-up plans, so any quantity can be traced back to the sheet it was measured on.

A takeoff has no dollar figures. That is the meaning of the word in construction: the quantities are taken off the drawings. It is sometimes called a material takeoff, or MTO, when it is limited to what a supplier sells.

What a cost estimate is

A cost estimate starts from the takeoff and adds everything needed to reach a price:

  • A unit price for the material on each line.
  • Labor hours and a wage rate for the crew that installs it.
  • Equipment where the work needs it.
  • General requirements: supervision, temporary facilities, permits and cleanup.
  • Overhead and profit, insurance, contingency and tax.

The result is a suggested bid, organized by CSI MasterFormat division. See how to read a construction estimate for a worked example.

Takeoff and estimate, side by side

Differences between a quantity takeoff and a cost estimate
Quantity takeoffCost estimate
What it containsQuantities by item, with unitsQuantities, unit prices, labor, markups and a total
PricesNoneMaterial, labor and equipment on every line
Depends on locationNoYes, priced to the project's ZIP code
Depends on wage rulesNoYes: union, open shop or prevailing wage
Typical userSupplier, or a contractor with their own pricesContractor bidding, or owner budgeting
Cost to prepareLowerHigher

A real example of each

A takeoff. A building products supplier sent us the drawings for a mid-rise apartment building and asked for the products they sell: sill sealer, adhesive and flashing. The deliverable was a list in the supplier's own units, rolls, tubes and pieces, with the drawing reference on each line. No prices, because the supplier sets those.

An estimate. A general contractor sent us an 8,020 square foot salon and spa renovation in Illinois. Every trade was taken off and priced. Trade cost came to $819,430, and with overhead and profit, insurance, contingency and tax the suggested bid was $996,458.

Both started with the same measuring work. Only the second went on to prices and markups.

Which one you need

  • You are a supplier quoting material: a takeoff, in the units you sell in. See supplier material takeoffs.
  • You are a subcontractor with your own unit prices: a takeoff is often enough, and costs less.
  • You are a subcontractor bidding in a new area or trade: an estimate, priced for that ZIP code.
  • You are a general contractor: an estimate for every trade, to check subcontractor numbers and fill gaps.
  • You are an owner or developer: an estimate, to set or test a budget.

If you are unsure, send the drawings and say what you will do with the result. We will quote the one that fits. Get a free quote.

Common questions

A takeoff lists quantities measured from the drawings and has no prices. An estimate prices those quantities with material, labor and equipment and adds general requirements, overhead, profit, contingency and tax to reach a total.

No. A takeoff is only quantities. A bid is a price offered to an owner or general contractor, built from an estimate and the contractor's own decisions about markup and risk.

A takeoff, because the pricing step is left out. Small single-trade takeoffs typically run $100 to $250.

Yes, and many subcontractors do. If you already know your material prices and production rates, a takeoff gives you accurate quantities to apply them to.

A takeoff limited to materials, usually the products one supplier sells, listed in the units they are sold in, such as rolls, boxes, pieces or sheets.

Yes. Takeoffs and estimates are delivered as editable Excel workbooks, with marked-up plans showing where each quantity was measured.

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