Cost Estimator

Prepare cost estimates for product manufacturing, construction projects, or services to aid management in bidding on or determining price of product or service. May specialize according to particular service performed or type of product manufactured.

On the job, you would:

Analyze blueprints and other documentation to prepare time, cost, materials, and labor estimates.
Confer with engineers, architects, owners, contractors, and subcontractors on changes and adjustments to cost estimates.
Collect historical cost data to estimate costs for current or future products.

Important Qualities

Analytical skills. Cost estimators must review and evaluate different construction and manufacturing methods to find cost-effective options.

Detail oriented. Cost estimators must be precise, because minor changes may greatly affect the overall expense of a project or product.

Math skills. Cost estimators need excellent math skills to calculate labor, material, and equipment estimates for construction projects.

Time-management skills. Cost estimators must plan in advance and work efficiently to meet their deadlines.

Writing skills. Cost estimators must have excellent writing skills to prepare comprehensive reports, which often help managers make production decisions.

Personality

A3	Your Strengths	Importance	Characteristics of this Career
		85%	Attention to Detail - Job requires being careful about detail and thorough in completing work tasks.
		85%	Integrity - Job requires being honest and ethical.
		84%	Analytical Thinking - Job requires analyzing information and using logic to address work-related issues and problems.
		80%	Dependability - Job requires being reliable, responsible, and dependable, and fulfilling obligations.
		73%	Cooperation - Job requires being pleasant with others on the job and displaying a good-natured, cooperative attitude.
		71%	Persistence - Job requires persistence in the face of obstacles.
		69%	Achievement/Effort - Job requires establishing and maintaining personally challenging achievement goals and exerting effort toward mastering tasks.
		69%	Initiative - Job requires a willingness to take on responsibilities and challenges.
		69%	Stress Tolerance - Job requires accepting criticism and dealing calmly and effectively with high-stress situations.
		66%	Adaptability/Flexibility - Job requires being open to change (positive or negative) and to considerable variety in the workplace.
		65%	Independence - Job requires developing one's own ways of doing things, guiding oneself with little or no supervision, and depending on oneself to get things done.
		61%	Self-Control - Job requires maintaining composure, keeping emotions in check, controlling anger, and avoiding aggressive behavior, even in very difficult situations.
		57%	Leadership - Job requires a willingness to lead, take charge, and offer opinions and direction.
		56%	Innovation - Job requires creativity and alternative thinking to develop new ideas for and answers to work-related problems.

A3	Your Strengths	Importance	Strengths
		83%	Enterprising - Work involves managing, negotiating, marketing, or selling, typically in a business setting, or leading or advising people in political and legal situations. Enterprising occupations are often associated with business initiatives, sales, marketing/advertising, finance, management/administration, professional advising, public speaking, politics, or law.
		83%	Conventional - Work involves following procedures and regulations to organize information or data, typically in a business setting. Conventional occupations are often associated with office work, accounting, mathematics/statistics, information technology, finance, or human resources.

A3	Your Strengths	Importance	Values of the Work Environment
		61%	Relationships - Occupations that satisfy this work value allow employees to provide service to others and work with co-workers in a friendly non-competitive environment. Corresponding needs are Co-workers, Moral Values and Social Service.
		61%	Independence - Occupations that satisfy this work value allow employees to work on their own and make decisions. Corresponding needs are Creativity, Responsibility and Autonomy.
		58%	Working Conditions - Occupations that satisfy this work value offer job security and good working conditions. Corresponding needs are Activity, Compensation, Independence, Security, Variety and Working Conditions.

Aptitude

A3	Your Strengths	Importance	Abilities \| Cognitive, Physical, Personality
		78%	Inductive Reasoning - The ability to combine pieces of information to form general rules or conclusions (includes finding a relationship among seemingly unrelated events).
		75%	Oral Comprehension - The ability to listen to and understand information and ideas presented through spoken words and sentences.
		75%	Oral Expression - The ability to communicate information and ideas in speaking so others will understand.
		75%	Mathematical Reasoning - The ability to choose the right mathematical methods or formulas to solve a problem.
		72%	Number Facility - The ability to add, subtract, multiply, or divide quickly and correctly.
		72%	Written Comprehension - The ability to read and understand information and ideas presented in writing.
		69%	Deductive Reasoning - The ability to apply general rules to specific problems to produce answers that make sense.
		69%	Near Vision - The ability to see details at close range (within a few feet of the observer).
		69%	Written Expression - The ability to communicate information and ideas in writing so others will understand.
		66%	Information Ordering - The ability to arrange things or actions in a certain order or pattern according to a specific rule or set of rules (e.g., patterns of numbers, letters, words, pictures, mathematical operations).
		63%	Speech Clarity - The ability to speak clearly so others can understand you.
		56%	Speech Recognition - The ability to identify and understand the speech of another person.
		53%	Category Flexibility - The ability to generate or use different sets of rules for combining or grouping things in different ways.
		53%	Problem Sensitivity - The ability to tell when something is wrong or is likely to go wrong. It does not involve solving the problem, only recognizing that there is a problem.

A3	Your Strengths	Importance	Skills \| Cognitive, Physical, Personality
		59%	Reading Comprehension - Understanding written sentences and paragraphs in work-related documents.
		59%	Mathematics - Using mathematics to solve problems.
		59%	Critical Thinking - Using logic and reasoning to identify the strengths and weaknesses of alternative solutions, conclusions, or approaches to problems.
		57%	Speaking - Talking to others to convey information effectively.
		57%	Writing - Communicating effectively in writing as appropriate for the needs of the audience.
		57%	Active Listening - Giving full attention to what other people are saying, taking time to understand the points being made, asking questions as appropriate, and not interrupting at inappropriate times.
		55%	Active Learning - Understanding the implications of new information for both current and future problem-solving and decision-making.
		54%	Judgment and Decision Making - Considering the relative costs and benefits of potential actions to choose the most appropriate one.
		52%	Complex Problem Solving - Identifying complex problems and reviewing related information to develop and evaluate options and implement solutions.
		52%	Management of Financial Resources - Determining how money will be spent to get the work done, and accounting for these expenditures.

Job Details

Responsibilities

Analyze business or financial data.

Estimate costs of goods or services.

Monitor financial indicators.

Assess the cost effectiveness of products, projects, or services.

Confer with personnel to coordinate business operations.

Confer with others about financial matters.

Estimate costs of goods or services.

Prepare financial documents.

Maintain data in information systems or databases.

Develop business or financial information systems.

Establish business management methods.

Negotiate agreements to resolve disputes.

Analyze business or financial data.

Estimate costs of goods or services.

Collect data about project sites.

Inspect work sites to determine condition or necessary repairs.

A3	Your Strengths	Importance	Attributes & Percentage of Time Spent
		100%	Electronic Mail - How often do you use electronic mail in this job?
		95%	Telephone - How often do you have telephone conversations in this job?
		90%	Spend Time Sitting - How much does this job require sitting?
		86%	Face-to-Face Discussions - How often do you have to have face-to-face discussions with individuals or teams in this job?
		83%	Indoors, Environmentally Controlled - How often does this job require working indoors in environmentally controlled conditions?
		78%	Work With Work Group or Team - How important is it to work with others in a group or team in this job?
		74%	Importance of Being Exact or Accurate - How important is being very exact or highly accurate in performing this job?
		73%	Freedom to Make Decisions - How much decision making freedom, without supervision, does the job offer?
		72%	Structured versus Unstructured Work - To what extent is this job structured for the worker, rather than allowing the worker to determine tasks, priorities, and goals?
		71%	Impact of Decisions on Co-workers or Company Results - What results do your decisions usually have on other people or the image or reputation or financial resources of your employer?
		69%	Time Pressure - How often does this job require the worker to meet strict deadlines?
		67%	Contact With Others - How much does this job require the worker to be in contact with others (face-to-face, by telephone, or otherwise) in order to perform it?
		61%	Coordinate or Lead Others - How important is it to coordinate or lead others in accomplishing work activities in this job?
		59%	Frequency of Decision Making - How frequently is the worker required to make decisions that affect other people, the financial resources, and/or the image and reputation of the organization?
		56%	Level of Competition - To what extent does this job require the worker to compete or to be aware of competitive pressures?
		53%	Importance of Repeating Same Tasks - How important is repeating the same physical activities (e.g., key entry) or mental activities (e.g., checking entries in a ledger) over and over, without stopping, to performing this job?
		73%	Duration of Typical Work Week - Number of hours typically worked in one week.

A3	Your Strengths	Importance	Tasks & Values
		91%	Getting Information - Observing, receiving, and otherwise obtaining information from all relevant sources.
		89%	Working with Computers - Using computers and computer systems (including hardware and software) to program, write software, set up functions, enter data, or process information.
		89%	Analyzing Data or Information - Identifying the underlying principles, reasons, or facts of information by breaking down information or data into separate parts.
		87%	Estimating the Quantifiable Characteristics of Products, Events, or Information - Estimating sizes, distances, and quantities; or determining time, costs, resources, or materials needed to perform a work activity.
		83%	Making Decisions and Solving Problems - Analyzing information and evaluating results to choose the best solution and solve problems.
		82%	Communicating with Supervisors, Peers, or Subordinates - Providing information to supervisors, co-workers, and subordinates by telephone, in written form, e-mail, or in person.
		81%	Updating and Using Relevant Knowledge - Keeping up-to-date technically and applying new knowledge to your job.
		77%	Processing Information - Compiling, coding, categorizing, calculating, tabulating, auditing, or verifying information or data.
		71%	Identifying Objects, Actions, and Events - Identifying information by categorizing, estimating, recognizing differences or similarities, and detecting changes in circumstances or events.
		71%	Establishing and Maintaining Interpersonal Relationships - Developing constructive and cooperative working relationships with others, and maintaining them over time.
		70%	Organizing, Planning, and Prioritizing Work - Developing specific goals and plans to prioritize, organize, and accomplish your work.
		70%	Scheduling Work and Activities - Scheduling events, programs, and activities, as well as the work of others.
		70%	Documenting/Recording Information - Entering, transcribing, recording, storing, or maintaining information in written or electronic/magnetic form.
		69%	Communicating with People Outside the Organization - Communicating with people outside the organization, representing the organization to customers, the public, government, and other external sources. This information can be exchanged in person, in writing, or by telephone or e-mail.
		69%	Interpreting the Meaning of Information for Others - Translating or explaining what information means and how it can be used.
		66%	Evaluating Information to Determine Compliance with Standards - Using relevant information and individual judgment to determine whether events or processes comply with laws, regulations, or standards.
		64%	Thinking Creatively - Developing, designing, or creating new applications, ideas, relationships, systems, or products, including artistic contributions.
		61%	Monitoring Processes, Materials, or Surroundings - Monitoring and reviewing information from materials, events, or the environment, to detect or assess problems.
		61%	Providing Consultation and Advice to Others - Providing guidance and expert advice to management or other groups on technical, systems-, or process-related topics.
		59%	Judging the Qualities of Objects, Services, or People - Assessing the value, importance, or quality of things or people.
		59%	Developing and Building Teams - Encouraging and building mutual trust, respect, and cooperation among team members.
		59%	Developing Objectives and Strategies - Establishing long-range objectives and specifying the strategies and actions to achieve them.
		59%	Coaching and Developing Others - Identifying the developmental needs of others and coaching, mentoring, or otherwise helping others to improve their knowledge or skills.
		57%	Guiding, Directing, and Motivating Subordinates - Providing guidance and direction to subordinates, including setting performance standards and monitoring performance.
		52%	Training and Teaching Others - Identifying the educational needs of others, developing formal educational or training programs or classes, and teaching or instructing others.
		51%	Coordinating the Work and Activities of Others - Getting members of a group to work together to accomplish tasks.

What Cost Estimators Do

Cost estimators often collaborate with engineers.

Cost estimators collect and analyze data in order to assess the time, money, materials, and labor required to manufacture a product, construct a building, or provide a service. They generally specialize in a particular product or industry.

Duties

Cost estimators typically do the following:

Identify factors affecting costs, such as production time, materials, and labor
Read blueprints and technical documents in order to prepare estimates
Collaborate with engineers, architects, clients, and contractors
Calculate, analyze, and adjust estimates
Recommend ways to cut costs
Work with sales teams to prepare estimates and bids for clients
Maintain records of estimated and actual costs

Accurately estimating the costs of construction and manufacturing projects is vital to the survival of businesses. Cost estimators provide managers with the information they need in order to submit competitive contract bids or to price products appropriately.

Estimators analyze production processes to determine how much time, money, and labor a project needs. Their estimates account for many things, including allowances for wasted material, bad weather, shipping delays, and other variables that can increase costs and lower profits.

In building construction, cost estimators use software to simulate the construction process and evaluate the price of design choices. They often check databases and their own records to compare the costs of similar projects.

The following are examples of types of cost estimators:

Construction cost estimators prepare estimates for building, road, and other construction projects. They may calculate the total cost of constructing a bridge or commercial shopping center, or they may calculate the cost of just one part, such as the foundation. They identify costs of elements such as raw materials and labor, and they may set a timeline for how long they expect the project to take. Although many work directly for construction firms, some work for contractors and engineering firms.

Manufacturing cost estimators calculate the expense of developing, producing, or redesigning a company’s goods or services. For example, an estimator working for a home appliance manufacturer may determine a new dishwasher’s production costs, aiding managers in making decisions about its assembly.

Other workers, such as operations research analysts and construction managers, also may estimate costs in the course of their usual duties.

Work Environment

Cost estimators held about 231,400 jobs in 2022. The largest employers of cost estimators were as follows:

Specialty trade contractors	35%
Construction of buildings	16
Manufacturing	12
Automotive repair and maintenance	8
Heavy and civil engineering construction	5

Cost estimators work mostly in office settings, and some estimators visit construction sites and factory assembly lines during the course of their work.

Work Schedules

Most cost estimators work full time, and some work more than 40 hours per week.

Getting Started

Education:

82%

Bachelor's Degree

Associate's Degree (or other 2-year degree)

How to Become a Cost Estimator

Cost estimators learn to use specialized cost estimating software.

Cost estimators typically need a bachelor’s degree to enter the occupation, although workers with several years of experience in construction sometimes qualify in that industry without a degree.

Education

Employers generally prefer to hire candidates who have a bachelor’s degree.

Construction cost estimators typically need a bachelor's degree in a related field, such as construction or engineering. Manufacturing cost estimators typically need a degree in business or finance.

Training

Most cost estimators receive on-the-job training, which may include instruction in cost estimation techniques and software and in building information modeling (BIM), computer-aided design (CAD), or other industry-specific software.

Work Experience in a Related Occupation

Some employers prefer that construction cost estimators, particularly those without a bachelor’s degree, have work experience in the construction industry. Some construction cost estimators become qualified solely through extensive work experience.

Job Outlook

Employment of cost estimators is projected to decline 3 percent from 2022 to 2032.

Despite declining employment, about 18,000 openings for cost estimators are projected each year, on average, over the decade. All of those openings are expected to result from the need to replace workers who transfer to other occupations or exit the labor force, such as to retire.

Employment

Cost estimation software is improving the productivity of these workers, requiring fewer estimators to do the same amount of work. This will limit employment growth of cost estimators.

However, there will continue to be some demand for these workers because companies need accurate cost projections to ensure that their products and services are profitable.

Contacts for More Information

For more information about cost estimators, visit

American Society of Professional Estimators (ASPE)

Association for the Advancement of Cost Engineering International (AACE International)

International Cost Estimating and Analysis Association (ICEAA)

Similar Occupations

This table shows a list of occupations with job duties that are similar to those of cost estimators.

Occupation	Job Duties	Entry-Level Education	Median Annual Pay, May 2022
Accountants and Auditors	Accountants and auditors prepare and examine financial records.	Bachelor's degree	$78,000
Budget Analysts	Budget analysts help public and private organizations plan their finances.	Bachelor's degree	$82,260
Claims Adjusters, Appraisers, Examiners, and Investigators	Claims adjusters, appraisers, examiners, and investigators evaluate insurance claims.	See How to Become One	$72,040
Construction Managers	Construction managers plan, coordinate, budget, and supervise construction projects from start to finish.	Bachelor's degree	$101,480
Financial Analysts	Financial analysts guide businesses and individuals in decisions about expending money to attain profit.	Bachelor's degree	$96,220
Financial Managers	Financial managers create financial reports, direct investment activities, and develop plans for the long-term financial goals of their organization.	Bachelor's degree	$139,790
Industrial Production Managers	Industrial production managers oversee the operations of manufacturing and related plants.	Bachelor's degree	$107,560
Logisticians	Logisticians analyze and coordinate an organization’s supply chain.	Bachelor's degree	$77,520
Operations Research Analysts	Operations research analysts use mathematics and logic to help solve complex issues.	Bachelor's degree	$85,720
Project Management Specialists	Project management specialists coordinate the budget, schedule, staffing, and other details of a project.	Bachelor's degree	$95,370

Cost Estimator

What they do:

On the job, you would:

Important Qualities

Personality

Characteristics of this Career

Strengths

Values of the Work Environment

Aptitude

Abilities | Cognitive, Physical, Personality

Skills | Cognitive, Physical, Personality

Job Details

Attributes & Percentage of Time Spent

Tasks & Values

What Cost Estimators Do

Duties

Work Environment

Work Schedules

Getting Started

How to Become a Cost Estimator

Education

Training

Work Experience in a Related Occupation

Job Outlook

Employment

Contacts for More Information

Similar Occupations