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Estimating process

Plant, tools, and equipment allowances.

Plant and equipment costs can make up 5–15% of a construction project. Whether you hire, lease, or own, the cost must be recovered through the estimate.

Authored by Maksym Vasylkov | Reviewed by Alexandr Vreme
Published — Next review

Who this guide is for

Estimators pricing plant requirements, site managers planning equipment needs, and contractors deciding between hire and purchase.

Types of plant costs

Hired plant: Daily, weekly, or monthly hire rate plus delivery, collection, fuel, and insurance. Includes excavators, dumpers, telehandlers, and site accommodation.
Small tools: Consumable tools and equipment. Often allowed as a percentage of labour cost (typically 2–5%).
Owned plant: Depreciation, maintenance, repairs, insurance, and finance costs spread over the expected utilisation.

Miniature example

A 12-week extension project: 3-ton excavator hire £250/week × 2 weeks = £500, dumper £120/week × 4 weeks = £480, small tools allowance 3% of £12,000 labour = £360. Total plant and tools: £1,340.

Common mistakes

  • Quoting plant hire for the full project duration when it is only needed for part of the programme
  • Forgetting delivery and collection charges for hired plant
  • Not including small tools in the estimate — tools are not free

Related guides and tools

Learn about preliminaries and site overheads and labour productivity. Use the Construction Estimator to track plant costs.