Painting may be an art, but estimation is a science.
To maximize profits, ensure consistency, and help you scale and grow your business, you need to produce an accurate interior painting estimate. An ironclad “why” and “how” behind every price you share. You might have a good feel for it, or know from experience how long it’ll take you to paint a room, but what about when you hire a new estimator, new painters who work at different speeds, or sell larger and more complex projects?
The W.A.G. method (“Wild Ass Guessing”) will only get you so far, and it’s a dangerous game to play.
It’s time to nail down your estimation process, making your life a whole lot easier and your painting business a whole lot more profitable.
What is Time-Based Estimation for Painting?
Time-based estimation for painting, or “production rate estimation,” is a method used to estimate an interior house painting project based on the time it takes to complete the job.
Sounds simple enough, right?
And it is. You’re using straightforward math to factor in how long something will take to paint and charging accordingly. But here’s where the drop-off can happen: many painting contractors don’t really have a firm handle on how long something will take, or what to charge per hour in order to cover all expenses and guarantee profitability.
Before we get deeper, here’s the formula to remember:
# Hours to Complete Project × Your Hourly Rate (+ Materials, if not included) = Project Price
What Are The Benefits of Time-Based Estimation?
Math may not be your favorite subject (we hear you!), but here’s why this is worth your time:
- Creates a Predictable Profit Model: With time-based estimation, you establish a system to generate consistent profits, job after job. No more crossing fingers and hoping your numbers are good.
- On-Time, On-Budget Projects: By knowing how long each job will take, you’re more likely to complete work on time and within budget. Again, there’s no guesswork: you know, based on an accurate painting job cost calculation, when the job will be complete and what will be involved.
- Scalable Process for Growth: With a repeatable system in place, it’s easier to onboard and train new team members. Scale it up! Hire painters, adjust your hourly rate as needed to compensate for increased overhead costs, and share a formula that really works with your estimation team.
Step 1: Measure the Space & Count the Items
Okay, with our formula in hand, let’s put it into practice with a hypothetical space. We start by asking three universal questions that apply whether you’re painting a guest room or an entire house:
- What surfaces are you painting?
- How many coats are you applying?
- How much prep work and additional time is required?
Let’s say our customer wants us to apply 2 coats of paint in a bedroom, including walls, ceiling, and baseboards. Using the measuring device of your choice (we love a good laser measure), we’re going to quickly and accurately get the dimensions:
- Walls: 384 square feet
- Baseboards: 48 linear feet
- Ceiling: 144 square feet
Are you with us? And remember, this is where a paint estimation software like PaintScout really shines, allowing you to just plug in the job data to arrive at a consistent, profitable figure.
Step 2: Calculate the Number of Painting Hours for Each Surface
For this step, you need to know your “time-based rate” — the average amount of time it takes to complete a task.
If you aren’t sure of your time-based rate, the easiest way to find it is to time your team. Just keep in mind that some painters are faster than others, so factor in a realistic average for more accurate painting quotes. For our example here, we’re going to go with 100 sqft/hr for painting 2 coats on the walls. After using the same process to find our time-based rate for the ceilings and baseboards, we can head back to the bedroom with a clear idea of how much time will be involved:
- Walls: 384 sqft ÷ 100 sqft/hr = 3.84 hours
- Baseboards: 48 sqft ÷ 30sq ft/hr = 1.6 hrs
- Ceilings: 144 sqft ÷ 75 sqft/hr = 1.92 hrs
Our total: 7.36 hours to paint this bedroom.
How about a little good news? PaintScout is the equivalent of bringing a calculator to a math test. Once you enter your surface area measurements, PaintScout will automatically run the rest of the calculations for you: hours to complete the project, your time-based rate, and help you create a clear and detailed estimate. We can show you how.
Don’t forget to account for additional hours…
Transportation time, masking, removing switch plates, filling nail holes… As experienced painters, we all know that our time doesn’t include simply showing up and painting. As you factor in the time your job will take, make sure to add in the other variables. Your client should be impressed too, knowing that managing all the prep is part of your process.
Step 3: Calculate the Price of the Interior Painting Project
First, you need a standard hourly rate. Take a look here for more detailed information about how to find the right figure for you, but here are a few key takeaways:
- The goal of a standard hourly rate is to eliminate guesswork in interior paint job pricing, ensure consistency, and guarantee profitability.
- Your rate should cover not only labor costs, but also overheard, materials (more on this below), and profit percentage.
- Also, don’t forget to factor your “labor burden” into labor costs, including taxes, FICA, worker’s comp, benefits, etc.
Now, you take your hourly rate and multiply it by the project hours it will take to complete the job (your original figure + additional hours).
$65/hr x 8.36hrs = $543.40
When you’re using PaintScout, you only need to figure out these core numbers once. We’ll do the rest of the calculation for you, factoring in your hourly rate and generating an accurate estimate—no guesses or surprises.
Should You Include Materials in Your Hourly Painting Rate?
This is ultimately up to you, your process, and how you want to itemize and organize your estimates. The major selling point of lumping materials into your hourly rate is keeping the process simpler: one fewer thing to calculate, and you don’t need to worry about planning for sundries and miscellaneous items.
What are the downsides to factoring in materials? Well, you lose some control over more granular pricing. For example, you might want to up-charge a premium product, or make a quote more competitive by offering to use a less expensive product. If you paint your estimates with a broader brush, you can’t control those finer points. Or, you might have a unique project that requires a lot of a specific material or paint—more than you factor in as the average for your hourly rate. All things to consider.
What’s Your Takeaway?
- You can only go with your gut for so long. You might know your own painting speed and have a rough idea of what to charge, but you can’t scale and ensure painting business profitability on rough ideas.
- You have to know your numbers. It’s critical to have a consistent method for measuring and pricing jobs.
- You need an hourly rate that guarantees profitability. A lot more goes into an hourly rate than just labor costs. By figuring this all out up front, you can ensure profitability.
- You need the right tools to eliminate surprises. Guesswork can be dangerous. Having the right interior house painting software, like PaintScout, makes the math easy and your estimates completely consistent.
By crunching the numbers in a smart way, you can save yourself so much time, avoid headaches, and put your painting business on the road to real growth and profitability.