Indirect expenses on a construction project that support the overall job rather than a single line item. This includes site security, portable toilets, temporary power, project management salaries, and equipment mobilization. Estimators calculate these total costs and distribute them proportionally across all the direct work codes.
We need to allocate the crane rental as a distributable since it will be lifting materials for the framers, roofers, and HVAC crews.
Failing to accurately estimate distributables is a common way new contractors lose money on large jobs, as these overhead costs run constantly until the project finishes.
Also heard as
- Indirect cost
- General conditions
Related terms
General contractor
The primary entity responsible for overseeing a construction project and managing subcontractors.
Punch list
A master document tracking minor defects and incomplete tasks that a contractor must fix before final payment.
Submittal
A package of technical documents or physical samples submitted to the architect or engineer for approval before fabrication.