Tariffs & Material Costs: How to Protect Your Margins

Tariffs & Material Costs: How to Protect Your Margins

Steel, lumber, electrical components, and even fasteners are subject to new trade policies driving prices up fast.

The Real Cost of Tariffs

When steel goes up 18% overnight, the problem is that your estimator quoted the job 90 days ago, your PM forgot to update the budget, your bookkeeper has no idea which job an invoice ties to, and you find out you lost money after the final draw.

What Commercial Contractors Need Right Now

1. Real-Time Job Costing — PM software talking directly to QuickBooks
2. A Bulletproof Change Order Process — Forced accountability and real-time budget updates
3. A Custom Financial Dashboard — Profit margin by job, outstanding change orders, cash flow forecast, material cost trends

How to Pivot Your Strategy in 2026

• Lock in material pricing earlier
• Review job budgets weekly, not monthly
• Audit estimating assumptions
• Build contingency into every bid (3-5% material contingency)