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Rate Analysis

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RATE ANALYSIS

• It is the process of determining the rate per unit


of an item of a work from cost of material, cost
of labour, cost of tools and plants with
miscellaneous expenses.
• PURPOSE OF RATE ANALYSIS
1) To know the actual cost of item
2)To know labour cost
3) It is useful for material management.
4) To select labour contractor.
5) To compare rate of contractor and rate of
department/owner
Importance of Rate analysis
• It is important to know the quantity of material,
number of labour, rate of raw material, rate of
rent of machinery etc in advance or before the
execution of work.
• Rates calculated with the help of this process
are not exact beause rate are different at
different places.
• With the help of rate analysis purchasing of
material become easy.
• Tools and plants are allocated smoothly.
• It helps in allocation of labours at right time and
at right place
FACTORS AFFECTING RATE
• ANALYSIS
1) Major factor
a) Material:-About 50% of total cost is
material cost. Local material available with
their rates, transportation, Quantity etc
b) Labour:- Number of labour are decided on
their task work so labour with their wages
are important. Labour cost is about 30% of
total cost.
c) Specification:-Specification gives the
detail idea about items. So it is also
important factor
2) Minor Factor
a) Tools and Plants:- Tools and plants with
their rent affect on rate analysis
b) Overhead charges:- It is 2 to 5% of total
cost of work . These are the expenses
required on site as travelling expenses,
telephone bill, stationary, Printing etc.
c) Contractor Profit
d) Place of work:- For remote place
transportation charges will be more
e) Magnitude of work:-If the work magnitude
is more then rates are less
PROCEDURE OF RATE ANALYSIS
• Rate analysis of any item consist of three steps as
given below. Find rate for unit quantity
a) Determination of Material Cost:- In this steps Quantity
of material required for the items are calculated. Cost
of material is calculated by multiplying quantity with
market rate of material.
b) Determination of Labour Cost:- In this steps number
of labours a with their categories are calculated.
Labour cost can be calculated by multiplying number
of labours with wages of labours
c) In third step material and labour cost are added and
to this cost following amount are added if necessary
1) Contractors Profit ( About 10%) 2)Water charges
( About 1.5%) 3) Rent for machinery
TASK WORK/OUT TERN
• The capacity of doing work by skilled labour per
day i.e for 8 hours is Known as task work /
• Factors affecting task work
1) Depending upon the skill of labour the out put is
different.
2) Climatic condition affect the task work.
3)Planning of work will affect on task work.
4)Safety measures increases task work.
5)Work environment will increase task work
Example Brickwork task work is 1.25m3
Plastering Task work is 8 m2
Excavation in hard soil is 2 m3
Excavation in hard rock is 1 m3
LABOUR REQUIRED FOR DIFFERENT ITEMS
Sr Descriptio Quanti Types of labour
N n of item ty Head Maso Male Femal Bhisti Carpe White
o Maso n Mazd e Maz nter/P washe
n oor door olisher r
1 PCC in 10 m3 1/2 1 10 6 2
Foundatio
n
2 RCC Work 10 m3 1/2 1 10 12 2 10 Bar
Bende
r 10
3 UCR 10 m3 1/2 10 16 8 2
Masonry
4 BBM in 10 m3 1/2 10 10 8 2
superstruc
ture
5 Plastering 100 1/2 10 10 1
m2
6 Flooring 100 1/2 15 12 10 2 2
m2
7 Coloring 100m 1/2 2 2
MATERIAL RATE
Sr No Material Rate in Rs Unit

1 Cement 350 Per 50 Kg bag

2 Sand 1500 Cu m

3 Aggregate 40 mm 900 Cu m

4 Aggregate 20 mm 1000 Cu m

5 Rubble ( UCR Masonary) 525 Cu m

6 Brick (20x10x10cm) 6 Per no

7 Mild steel 48 Kg

8 Shahabad Flooring 220 Sq m

9 Marble 2500 Sq m
LABOUR RATE PER DAY
Sr No Type of Labour Wages Per day

1 Head Meason 800

2 Meason 525

3 Male Mazdoor 350

4 Female Mazdoor 300

5 Bhisti 400

6 Carpenter/Plumber/Painter/Weld 500
er/Bar bender

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