Estimating Allowances

NOTE-- We retired MacNail estimating in 2000, and replaced it with Goldenseal construction estimating software. There are still die-hard MacNail users, so we keep the manuals online for their use! Goldenseal is an integrated program that also includes accounting, scheduling and contract writing features. Goldenseal includes Allowances, which adjust the project price, and also handle project billing after the project begins.

Using Estimate Allowances

Many contracts set up 'allowances' for such items as carpet, tile and cabinets. They let you turn out a bid before you know the type of materials to be used in the construction project.

The MacNail construction estimating software lets you 'flag' contract allowances in the bid, so you can later set up an allowance tracking worksheet. Most items that are on allowance cost more than anticipated. Track your actual costs in MacNail Accounting, and you can bill for the difference!

When using an allowance you may want to enter your own unit price formula. See the next section.

To 'flag' an item as an allowance:
1. Click anywhere on the line.
2. Choose *Flag as an Allowance from the EDIT menu.
3. The item name will have the word Allowance added to it. For example, 8' quarry tile will be changed to Allowance: 8' quarry tile.

To remove a flagged item:
1. Click anywhere on a line which is flagged as an allowance.
2. Choose *Flag as an Allowance from the EDIT menu.
3. The word 'allowance' will be removed.

When entering allowances, check to see if the specs call for a material allowance or a total price allowance. Also distinguish between flat price items and those based on a unit price.

For a total price allowance:
1. Type the allowance into the subcontractor column.
2. Zero out any existing labor or material prices.
3. For a flat price allowance: Type in the quoted price in column G (total cost, subs). This will wipe out the existing unit formula.
4. For a unit price allowance: Enter a unit price formula in column G (see page 105).

To enter a material allowance for a listed job item:
1. Keep all labor and subcontractor prices intact, and work with just the material figures.
2. For a new item, estimate man-hour units for installation labor.
3. For a flat price material allowance: type in the quoted price in column F (total cost, materials). This will wipe out the existing unit formula.
4. For a unit price material allowance: type in the quoted price in column J ($ per unit, materials).