is the contractor’s overhead in the cost of work referring to the general overhead which is general office renting, tax, etc, or project overhead like surety and bond, site office, etc?
AHPP p706 list of contractor’s overhead as general overhead and I saw it was interpreted differently elsewhere.
any clarification?
Hi @xurubi ,
I hope you’re having a great week so far!
The contractor’s overhead is referring to the contractor’s rent, taxes, fees, office supplies, etc. Each party has their own overhead cost, which they recoup by the fees which they charge. So, the architect has their own overhead and the contractor has their own overhead. If you ‘general overhead’ you’ll need to use the context of the question to figure out whose overhead they are referencing. On the ARE you are answering questions from the perspective of the architect, so you can assume ‘overhead’ is referring to the architect’s overhead unless specified otherwise.
Hope this helps!
-Darion
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