The Difference Between an Estimate and a Progress Claim in Finishing
The estimate and the progress claim are two core contracting terms that are often confused. In short: the estimate prices the work before execution, and the progress claim requests the value of work actually executed during a period. Both are based on the same bill of quantities.
What is an estimate?
The estimate is the priced BOQ: the work items with their quantities and prices before execution starts. It is the basis of contracting, cost estimation, and expected profit. Read what is a bill of quantities.
What is a progress claim?
A progress claim is a financial claim submitted during or after execution, representing the value of work actually executed up to a certain date, calculated by completion percentages from the estimate items.
The difference in a table
| Criterion | Estimate | Progress claim |
|---|---|---|
| Timing | Before execution | During or after execution |
| Purpose | Pricing and contracting | Claiming the executed value |
| Basis | Estimated quantities | Actual completion percentages |
How are they related?
The progress claim takes the estimate items and applies the completion percentage to them. So if the estimate is accurate, the claims become precise and fair to both sides. See contractor payment vouchers and tracking payments and claims.
Conclusion
The estimate is planning and the claim is execution — linking them through the BOQ and completion percentages prevents disputes. A system that links them automatically saves time and accuracy. Discover Bonyan software.
Frequently Asked Questions
What is the difference between an estimate and a progress claim?+
The estimate prices the work before execution, and the progress claim requests the value of work actually executed by completion percentages.
Does the progress claim depend on the estimate?+
Yes, the progress claim takes the estimate items and applies the completion percentage to them.
Why do companies confuse them?+
Because both use the same BOQ items, but one is planning and the other is execution.
How does software help with progress claims?+
By linking completion percentages to the estimate items and calculating the claim value automatically.