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Question DetailsAsked on 11/20/2017

Is the homeowner to be charged retail or wholesale prices on parts

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In a store you go to, unless you have a contractor or commercial account - retail price.


From a contractor working on your property - if he is selling you the parts out of inventory or off the truck (like an electrician or plumber or HVAC technician) retail price.


If you have a contract (like with a General Contractor for a larger job) where you are paying "cost plus" for labor and materials and subs on itemized invoices (as opposed to paying one lump sum for the job) and he is getting an agreed-upon markup on the materials and parts and subs, then you should be paying what he paid for them on the supplier and/or subcontractor invoices he submits (including taking in to account any contractor discounts or rebates he receives) plus the agreed-upon markup. So for many "normal" as opposed to "quick run to the local store for something" materials this would be wholesale cost plus his markup.


Basically, if he is buying the materials for your job (as opposed to youy buying them, which introduces other potential issues) it is fair that he get a markup for overhead and carrying costs and profit on it.

Answered 11 months ago by LCD




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