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CE LAWS ACTIVITY

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CE LAWS ACTIVITY

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About this activity

Methods of Charging for CE Services

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CE LAWS ACTIVITY
 

CE LAWS ACTIVITYOnline version

Methods of Charging for CE Services

by Hannah Moral
1

Charges for engineering services are always based on a fixed price method.

2

The salary cost times multiplier method is commonly used because it allows flexibility in determining charges based on direct salaries and a multiplier for overhead and profit.

3

Under the cost plus fixed fee method, the fixed fee remains constant and is not dependent on the final construction cost.

4

Per diem charges are typically used for short-term engagements such as expert witness services or legal consultations rather than long-term projects.

5

The cost plus fixed fee method ensures that the Civil Engineer is reimbursed for actual project-related expenses, plus a fixed fee for contingencies and profit.

6

The hourly billing rate method includes all direct personnel expenses, overhead, and profit in the billing rate

7

Direct non-salary expenses do not include employee benefits like medical insurance and retirement contributions but includes travel costs, special equipment, and other project-specific expenditures.

8

The fixed price method is commonly used for well-defined projects such as investigations and studies.

9

Engineering fees for construction supervision can be up to 10% of the estimated construction cost.

10

The percentage of construction cost method varies depending on the project type, complexity, and scope, rather than being a fixed percentage across all projects.

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