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Junk removal: Why should extra work be priced separately?

Price a separately agreed change in scope.

Cobalt ribbon, chrome ring and orange sphere in architectural light
Junk removal / collection economics
Answer

Unpriced changes consume labour and materials without raising revenue. Record the extra scope and obtain agreement before using a quote.

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Formula and worked example

Extra quote = (hours × hourly cost + materials + fees) / (1 − margin)

Example figures
InputExample
Extra labour hours6
Burdened labour cost per hour40
Extra materials150
Other extra cost30
Target margin25 %
Calculated result560

Choose reliable inputs

Plan materials, travel and crew time before committing to a price. For this junk removal calculation, use a completed job sheet, supplier quotes and a crew schedule and a consistent definition of one collection.

  • Disposal fees: include the portion belonging to this collection or reporting period, and record where the value came from.
  • Loading time: include the portion belonging to this collection or reporting period, and record where the value came from.
  • Vehicle cost: include the portion belonging to this collection or reporting period, and record where the value came from.

Use the same currency for every money input. Do not mix weekly costs with monthly revenue, or count the same expense in both an itemised cost and allocated overhead.

Why should extra work be priced separately?

Unpriced changes consume labour and materials without raising revenue. Record the extra scope and obtain agreement before using a quote.

This excludes contractual requirements and the original job price.

Compare a different assumption

What if this input changes?

If extra labour hours rises by 10%, this example changes by 32 . This shows the effect of one change; it does not predict what will happen.

Open the calculator, save your baseline, then change the input supported by the least reliable estimate in your records. Compare both scenarios before committing to a price or capacity promise.

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