Post-calculation: the key to better margins in future projects

Created December 2025, Reading time: approx. 2-3 minutes

Why post-calculation is the industry's forgotten gold mine

Many construction companies work hard, deliver quality and stand up for their customers – but still struggle with low or unstable margins. In a hectic everyday life, projects are closed, people are sent on to the next assignment, and the most important learning moment disappears: the evaluation of what actually happened. That is precisely why the post-costing is one of the most powerful, but often most underestimated, tools in the entire costing and management process.

A good cost estimate is not about “finding faults” or pointing scapegoats. It is about understanding the reality of the project – so that you can calculate smarter, plan better and increase the profitability of future projects. Cost estimates are simply the link between practice and strategy, between experience and improvement.

In this support article, we delve deeper into why post-calculations are crucial, how they are implemented in practice, what typical deviations occur in the industry – and how digital tools can make the entire process both easier and more valuable.

Part 1: What a post-calculation really is – and why it matters so much

The formal definition is simple: A post-calculation compares the original preliminary estimate with the actual figures in a completed project. But in practice, the post-calculation is much more than a calculation. It is a diagnosis of the quality of the calculation , project management and implementation.

Three main goals with post-calculation:

  1. Uncovering discrepancies
    Where did it go as planned – and where did it fall apart?

  2. Understand the reasons behind the numbers
    Why did an activity take 40% longer? Why was the material consumption higher? Why was there an additional charge from UE?

  3. Improve your next project
    The figures from the post-calculation are the basis for better calculations , better risk management, more precise quantities and safer margins.

Companies that do this systematically see that the cost estimate has a direct effect on both profitability and competitiveness.

Part 2: How to carry out a post-calculation – step by step

1. Start with original calculation

This is the basis for the comparison. You need to retrieve:

  • calculation and offer

  • contracts and EU agreements

  • any change notifications

  • quantity descriptions and drawings

This is the outcome of how you thought the project would go.

2. Record actual hourly consumption

Timers are the most common source of error – and often the biggest. Here you should analyze:

  • total number of hours

  • hours per activity

  • waiting, interruptions, incorrect orders

  • coordination between disciplines

If you systematically see that certain activities consistently take more time, this must be included in the experience figures.

3. Record actual material consumption

Materials often vary by 5–12%, especially when:

  • competition and waste

  • adjustments and adaptations on site

  • extra deliveries

  • small materials that are “not in the calculation”

Material costs are not just about quantity – but about the quality of logistics and planning.

4. Record UE costs

Many fall here. You must bring:

  • addition from reservation

  • costs due to changes

  • invoices for time spent in case of delays

  • additional mobilizations

UE costs are often more dynamic than in-house production – and must be analyzed carefully.

5. Record indirect costs

This is the item that is often “forgotten,” and thus eats up margins without anyone noticing.

Typical indirect costs:

  • transportation and car

  • project manager hours

  • administration

  • tool wear

  • rigging and operation

  • construction current

For many entrepreneurs, this is an eye-opener.

6. Compare cost price and selling price

Here comes the truth. Did you get the profit you calculated? Or was the margin eaten up by small deviations throughout the project?

It is important to see both:

  • total deviation

  • deviation per activity

  • variance per cost group

The more detailed you compare, the more precise your experience figures will be.

7. Analyze the deviations

This is the core of learning.

Some questions you should ask:

  • Why did the hours crack?

  • Was the work described correctly?

  • Was the choice of materials optimal?

  • Was the EU well coordinated enough?

  • Were the quantities too weakly founded?

  • Did we have enough time for planning?

Without causal analysis, the post-calculation becomes just a summary, not an improvement tool.

8. Document the learning points

The experience must include:

  • spreadsheet templates

  • experience figures

  • checklists

  • routines

  • internal knowledge sharing

If experience is not stored, retrospective calculations have little value.

Part 3: Typical findings in post-calculations – the industry's most common mistakes

When contractors start doing post-costing systematically, the same patterns emerge:

1. Hours are underestimated by 10-25%

Causes:

  • optimistic estimates

  • poor coordination

  • waiting for other subjects

  • inaccurate quantities

2. Material consumption increases by 5–12%

Causes:

  • cut, shrinkage and adaptation

  • wrong orders

  • projects that change along the way

3. Rig and operation are underestimated

This applies in particular to:

  • longer construction time than planned

  • more logistics than expected

  • more crews on site

4. Small costs are forgotten

Examples:

  • tool wear

  • plastic, screws, fasteners

  • extra trips to the wholesaler

This seems small, but eats up margins quickly.

5. UE costs are often higher than expected

Especially when:

  • The mission is poorly described.

  • dependencies change

  • coordination fails

Part 4: The profitability effect – why post-costing improves margins

Companies that systematically perform post-calculations typically experience:

1. More precise calculations

Each new calculation is based on real experience.

2. Safer risk premium

No more “gut feeling” – but real data.

3. Better management of UE

You see who delivers – and who doesn't.

4. More accurate pricing of jobs

You choose the right projects and avoid losers.

5. Better project management

Deviations are caught earlier next time.

Part 5: Digital tools – when post-calculation becomes easy

In Excel, post-calculations are perceived as time-consuming, and therefore they are often postponed.

Digital calculation tools make the post-calculation much easier by:

  • retrieve hours automatically

  • link material costs to the calculation

  • show deviations directly at record level

  • save history that can be used in the next project

When the process becomes easy, it gets done – and learning becomes a natural part of the project.


A post-cost estimate is one of the most effective methods for increasing the profitability of construction projects. It provides insight, experience and concrete learning – and makes the next project more precise, safer and more profitable.

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Calculation types between preliminary and post-calculation in construction