Contingency

Construction contingency definition. Learn why every project needs a 'just in case' fund for unforeseen conditions and risks.

Calculation Formula

Total Estimated Budget = Direct Costs + Overhead + Profit + Contingency

Real Contractor Example

A $100,000 renovation includes a 10% ($10,000) contingency. When rotted subfloors are found under the old tile, the fund covers the repair.

Put This Into Practice

Knowing the definition is step one. RemodelFin tracks this in real time on every job — no spreadsheets.