How to Check Fabrication Job Profit
Profit checking should compare the revenue you expect to collect with the full job cost, including rework and realistic labor time.
Use actual job inputs
Track quoted revenue, actual labor hours, material consumption and allocated overhead.
Compare expected and actual
After the job, compare actual results with the original estimate. Large gaps often reveal estimating errors or scope changes.
Protect the next quote
Use the variance to improve standard hours, rates, allowances and change-order controls.