Construction glossary
Time and materials (T&M)
Also called T&M, T and M, cost-plus extras.
Time and materials means the owner pays for the hours, iron, and materials that were actually used, at rates agreed in advance. It is how most extras, force-account work, and undefined scope get billed.
T&M versus lump sum
Lump sum prices a defined scope. T&M prices uncertainty. Once the extra is defined well enough to lump, many jobs convert. Until then, the ticket has to carry class, hours, and the signed rate — not a guess.
What has to be agreed first
The rate sheet, overtime rules, standby, portal-to-portal, and whether a foreman or super is billable. If those are verbal, the LEM becomes a negotiation. SubTrack locks the sheet to the project so every ticket reads the same numbers.
Time and materials FAQ
Is T&M the same as cost-plus?
Close. Cost-plus often marks up actual cost. T&M usually bills published charge-out rates that already include burden, overhead, and margin.
Can I bill T&M without a rate sheet?
You can try. The invoice will be argued. The sheet is the contract for the extra.
The index is a benchmark. Rate sheets are how you bill.
Rates shows public charge-out ranges. SubTrack rate sheets lock your crew numbers into a template the field actually bills from, on every LEM.
One template, every job
Labor, equipment, materials, and subs live in one sheet. Assign it to a project and tickets read the same numbers.
OT and markup apply themselves
Standby, overtime, and markup rules ride with the sheet. The field does not retype them.
The client sees what they signed
Line items match the agreed rates. Fewer disputes, faster approvals.
Project rate sheet
Labor · assigned to the job
| Position | Reg. rate | OT rate |
|---|---|---|
| Foreman | $72/hr | $108/hr |
| Operator | $68/hr | $102/hr |
| Laborer | $35/hr | $52.50/hr |