fee for structural design
fee for structural design
(OP)
how much can a structural engineer ask for the ff. services
1. structural design calculation services.
2. signed and sealed for the plans
thanks
1. structural design calculation services.
2. signed and sealed for the plans
thanks






RE: fee for structural design
I do know, though, that geotechs will only get a fraction of what you'll get!
Hope others can help you out, but this was my
RE: fee for structural design
I too had the same point of view as BigH. But then things turned around when I decided not to concern myself with my competition. It is pointless to accept all the responsibilities that come with being an engineer only to be compensated at the same hourly rate as the local grocery store clerk. We used to be in fierce competition with another engineering firm for a client's business. To get more work, we would each in turn drop our fees. After a few years of this, I realized that nobody was getting ahead. We were working like crazy until all hours of the night, but we were not making any money. So I tried something a little different. Instead of lowering my fees, I raised them. Not by a little, by a lot. Here's what happened. My competition got all the work from this client for the first little while. It didn't take long before they were overloaded with projects that weren't making them very much money. Eventually, they couldn't handle all the work, and the client was knocking on our door again, paying us at our new higher rates. We were working less, and making more money. What a concept!
In my opinion, you will advance your career much faster if you provide quality work rather bargin basement prices. You'll also be much happier!
As for fee recommendations, refer to your associations recommended rates.
RE: fee for structural design
Having got that out of my chest and without divulging my trade secret of how much to charge (result of being in the business over 23 years) I would refer you to the ASCE publication titled "How to work effectively with consulting engineers, getting the best project at the right price. This publication can be purchased directly from the ASCE at www.asce.org
Your question cannot be simply answered by saying $1500 per sheet. There are so many factors that impact the design fee. You also may price your self out of a project.
Her are some factors to consider:
1. The complexity of the project
2. Are there many details to generate?
3. How complicated the details are there
4. How many design reviews are you going to hold with the client
5. Is the client easy to deal with?
6. Do you have to meet with regulators?
7. Do you have to acquire outside help (i.e. Geotechnical consulting, building envelope consultant, etc.)
8. Are you going to support during construction
9. Are you going to be asked to design within normal relaxed schedule?
10. How much printing do you have to do?
11. What is your overhead?
12. Is there any travel to be done and how and what si the duration
13. Do you have support the bidding process?
14. Do you have to answer to several reviewers within the client organization?
There has been long standing percentage numbers that the federal government uses such as 6%. This percentage drives me up the wall because it has no strong rational any more plus it is very old.
I think I will stop here. I think this will give you an idea that there is not one set figure to price engineering work.
Good luck
RE: fee for structural design
Of course, due consideration is given to different factors, such as those very well expressed by Lutfi.
I agree completely, that quality in the job is of prime importance.
RE: fee for structural design
My old mentor used to tell me that this bid pricing is doing nothing but "prostituting the practice" - and he was right.
Good discussion - and yes, a book would be good, but it would be one without end. . . . .
RE: fee for structural design
The 2 times rate is used for long term projects and the 2.5 is used for short-term projects.
Disbursements for such things as travel, meals, phone, etc are additional. Some firms mark this up by 10% some do not.
This normally works out that the experienced senior engineers who earn more money have a higher charge out rate that reflects the market value on their services.
There is some debate if computer and other equipment costs are allowable disbursements. If you are clear in the proposal it should not be an issue. Some firms charge extra for secretarial time some do not.
Percentage fee calculations average 5 to 10 % of the construction cost depending on the size of the work and the complexity. They are not as common around here since the incentive is not for the engineer to save construction costs.
Some clients like to have a cap on the fees and some do not use them. I would never work on an hourly basis with a cap unless the cap was quite large.
Personally I prefer to quote a firm fixed price and not have to justify how many hours I spend on a task. I have enough experience in my practice to be close to the 2.5 times salary figure for most work.
I also define the scope of the work clearly and precisely. I will often absorb some additional work rather than get a reputation as someone who nickels and dimes a client to death.
If I underestimate then all I lose is my time is I over estimate then I get an extra profit. In either case the client knows his costs going in.
I usually try not to waste my time submitting detailed proposals to potential clients who will base their decision only on price. All they usually get from me is boilerplate proposals and a cost.
Rick Kitson MBA P.Eng
Construction Project Management
From conception to completion
www.kitsonengineering.com
RE: fee for structural design
Some days a job just takes longer than you think it should have. With higher fees I can afford to sacrifice a few hours here and there. In other words I don't always bill the client for all the hours I actually put into the job. With higher fees I can afford to do this. I based my fees on what I knew to be one of the higher priced firms in the area. $95.00 an hour for calculations and $60.00 an hour for everything else. I have a friend who just charges a flat rate of $90.00 an hour for everything. He is absolutely swamped with work.
One break we both try to give clients is if we have to travel to various job sites during the week we try to cluster those trips and prorate the travel time. In other words three clients get off with one third of the hourly rate when we can arrange our schedules that way.