A construction estimate should include: The cost of the material to be used in the project, along with a breakdown of each material and the required quantities. Labor rates, including the cost of overtime and extra hours. The cost of the equipment to be used in the project. Indirect costs such as administrative expenses and land acquisition. Quotes from subcontractors. Contingency, which is typically expressed as a percentage of the total estimated cost. Profit margin. Once you have the total estimated cost of the project, you should add your profit margin to come up with the figure you’ll quote in the bid.