The Line-Item Categories
- Demolition & disposal — tear-out and dumpster.
- Materials — fixtures, finishes, cabinets, flooring.
- Labor — trades: framing, electrical, plumbing, tile, paint.
- Permits & fees — building, zoning, inspections.
- Design & consulting — architect/designer, plans.
- Temporary costs — storage, lodging, utilities during work.
- Contingency — the buffer for surprises.
Typical Allocation Percentages
| Category | Share of typical remodel |
|---|---|
| Labor | 30%–40% |
| Materials | 30%–40% |
| Design & permits | 5%–12% |
| Contingency | 10%–20% |
These are planning ranges; your project’s mix shifts with finish level and age of home.
The Contingency Layer
The contingency is not "extra money" — it is the cost of things you cannot see yet. In homes built before 1990, plan 15%–25% because hidden plumbing, wiring, and structural issues are common. Keep it as a separate line so you can see when you draw it down.
Tracking and Reconciliation
Set the spreadsheet up with a "planned" and an "actual" column per line. Update weekly. When a line exceeds plan, decide consciously whether to reallocate from another line or draw contingency — never silently absorb it. At closeout, reconcile to the penny so the next project starts smarter.