Direct Cost

Direct cost definition for contractors. Learn why tracking materials and labor per job is the key to profit.

Calculation Formula

Direct Cost = Material Cost + Labor Cost + Subcontractor Fees + Equipment Rental

Real Contractor Example

For a deck build, you spend $4,000 on wood, $3,200 on your framing crew, and $800 on a concrete sub.

Put This Into Practice

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