Electrical estimating software that wins more jobs

Every electrical price is built from four pieces:

1. Devices and fixtures: each receptacle, switch, light, fan and alarm, with its box and trim.
2. Runs: the cable from the panel or the nearest circuit to each device, priced by the foot, and more for finished walls than for open framing.
3. Panel and circuit work: breakers, new circuits, subpanels and service changes.
4. Access and repair: cutting in boxes, fishing, and patching the holes you leave.

Each line item carries your own hours

These are the common lines on a residential electrical estimate and what each is measured in. Cable runs go by the linear foot. Devices, fixtures, circuits and panels go by the each.

The hours and prices are yours to set. Your speed is yours, and every line's hours are editable.

Old work takes more hours than new work

The gap between new work and old work is where electrical estimates go wrong.

Example: Take six recessed lights in a finished living room ceiling, on a new switch, with 60 feet of cable fished from the nearest circuit. The hours below are example figures; say your own records show you need:

Work	Your hours
Six remodel recessed lights	7.5
Fish 60 feet of cable	6
Cut in an old-work box for the switch	0.5
Install the switch	0.5
Total	14.5

Say the same 60 feet run through open framing takes you 2.5 hours instead of 6. That's the difference between pricing a basement before the drywall goes up and a living room after.

Your labor rate covers more than the wage

An electrician's wage isn't your labor rate. Your rate has to cover:

• the wage
• payroll taxes, workers' comp and liability insurance
• the van, fuel, testers and tools
• license renewals and continuing education
• the hours nobody pays for: estimates, supply runs, waiting on inspectors

Wage, overhead, then markup

Then the rate needs a profit. BuildWell builds your rate in three steps:

1. Wage: the median electrician wage for your metro.
2. Overhead: your labor overhead, which starts at 100%, doubling the wage.
3. Markup: your labor markup, which starts at 20%.

Example: Say your electrician costs you $35 an hour. Use your real number. The 14.5 hours of recessed lighting work above come to:

• Wages: 14.5 × $35 = $507.50
• With 100% overhead: $1,015
• With 20% markup: $1,218 for that labor

The patches at the access holes are priced separately, at the drywall wage.

Price materials near the job, then mark up

Price wire, boxes, breakers and devices at what they cost near the job this week. Then add a markup that covers:

• the supply runs
• the wrong breaker you had to return
• your warranty on what you install

BuildWell's material markup starts at 20%, and you can adjust it on each estimate.

Client-bought fixtures are listed, not charged

Fixtures are where homeowners like to choose. If they're buying their own chandelier, fan or charger, mark it as theirs.

It stays on the estimate so the scope is clear, but it isn't charged. Your installation labor still is.

Panels and EV chargers: list each extra

• Service upgrades: a panel replacement usually needs the utility to disconnect and reconnect, a permit, and an inspection before the power comes back on. The panel swap, utility fees, a meter base or a mast each get their own line. Tell the homeowner in writing how long they'll be without power.
• Load calculations: before you add a charger, a range or a heat pump to an older service, do the load calculation the code requires. If the service can't carry it, the estimate should say so and price the upgrade or a load management option.
• EV chargers: the cost turns on the distance from the panel to the parking spot and whether the panel has room. BuildWell's EV charger line covers the circuit and the unit on a short run. Longer runs, trenching or a subpanel go on as their own lines.

Spell out permits, inspections and surprises

• Permits: many jurisdictions require a permit for new circuits, panel work and service changes, with a rough-in inspection and a final. When BuildWell asks whether you're pulling one, answer yes, and your permit fee is added.
• What you find in older houses: ungrounded receptacles, undersized wiring, overloaded circuits and old splices without boxes turn up when you open a wall. Say in your terms what's included and how you'll price code corrections you're required to make once you've found them.
• Trip charge and diagnosis: for service calls, add a line of your own for your trip or diagnostic fee. That way the first half hour is paid for even when the fix is a breaker.

Pay depends on market, license and work

What electricians earn varies widely:

• between metro areas
• between apprentices, journeymen and masters
• between union and non-union shops

An owner earns the margin between what the work is billed at and what it costs. So your labor rate and how you price old work matter more than any wage table.

Self-employment tax is 15.3% of net earnings

As a sole proprietor or single-member LLC, you pay self-employment tax on your net earnings: 15.3% in total.

• Social Security, 12.4%: applies to net earnings up to the Social Security wage base, which is $184,500 for 2026.
• Medicare, 2.9%: applies to all of it.
• Deduction: you can deduct half of the self-employment tax on your income tax return.

It comes on top of federal and state income tax, so put a share of every payment aside.

Pay quarterly estimated taxes

No one withholds tax from your invoices, so the IRS expects payments during the year on Form 1040-ES. They're usually due in mid-April, mid-June, mid-September and mid-January. Late or missed payments add penalties.

Track these deductions

Electrical businesses commonly deduct:

• tools, meters and testers
• the business share of your van
• fuel
• insurance, bond and license fees
• continuing education
• phone and software

Keep receipts and a mileage log as you go.

Send subs a 1099-NEC at $2,000

If you pay an unincorporated subcontractor for services, you'll generally need to send them a Form 1099-NEC. For payments made in 2026 and later, that applies once you've paid them $2,000 or more in a year, up from $600 before 2026.

Get a Form W-9 before the first payment.

Sales tax on materials depends on your state

States treat electrical contractors differently. Some have you pay sales tax when you buy materials. Others have you charge it to the customer on materials, or on the whole job.

Check your state's revenue department. In BuildWell, sales tax applies to materials only, not labor, at the rate you set.

This is general information, not tax or legal advice. A tax professional who works with contractors can tell you what applies in your state and to your business.