Worked change-order example

The $2,740 change that became $3,151.

A complete change order does more than add a price. This constructed bathroom example separates the original promise, the exact change, omitted-work credit, materials, labor, markup, schedule effect, payment trigger, and revised project total before anyone authorizes the work.

Original HomeScope exampleFree 4-page worksheetIllustrative—not contract advice
THE RULE

No changed work until scope, price, time, and payment are one written decision.

A price without changed scope cannot be checked. Changed scope without a schedule effect is incomplete. A revised total without an objective payment trigger can create a dispute. The signed change should say what leaves, what enters, what it costs, when it is due, and how the project record changes.

Illustrative change order: a $2,740 direct-cost delta plus $411 markup creates a $3,151 contract increase and a revised total of $75,151.
Visual summary

The arithmetic is only one part of the decision. The same approval also records a three-working-day extension and a milestone-based payment trigger.

Start with words, not dollars

The homeowner changes from one vanity to two wall-mounted sinks.

ORIGINAL SIGNED SCOPE

One 48-inch vanity

  • One cabinet and top
  • One sink and faucet
  • Existing plumbing locations retained
  • Base vanity installation included
CHANGED SCOPE

Two wall-mounted sinks

  • Delete vanity cabinet and top
  • Add two named sinks and faucets
  • Split supply and drain lines
  • Add wall blocking and patching limits

This is a constructed educational example. All amounts, hours, rates, markup, schedule effects, and payment terms are illustrative—not observed bids, price benchmarks, or recommended contract terms.

Show every addition and subtraction

The credit belongs in the calculation before markup.

ORIGINAL SIGNED TOTAL$72,000
DIRECT-COST DELTA$2,740
CHANGE-ORDER TOTAL$3,151
Remove base vanity− $900.00Credit for written original-scope work no longer performed
New plumbing materials+ $1,850.00Named valves, supply, drain, and fittings
Added plumbing labor+ $1,360.0016 hours × illustrative $85/hour
Permit / inspection allowance+ $250.00Allowance only; reconcile to the actual local charge
Added disposal+ $180.00Written removal and disposal line
Direct-cost delta$2,740.00Added costs less the omitted-scope credit
15% contract markup+ $411.00Illustrative markup applied to the direct-cost delta
WRITTEN CONTRACT INCREASE$3,151.00

$2,740 direct-cost delta + $411 markup

REVISED SIGNED TOTAL$75,151.00

$72,000 original total + approved change

The non-price half

The change also buys three working days.

The example adds three working days after materials are available and the changed work is authorized. The revised target date should be stated—not left for someone to reconstruct later from a text thread.

Before either signature

Eight checks that keep one change contained.

01

Reason

Why is the change needed or wanted, and who requested it?

02

Original scope

What exact signed work is being removed, retained, or affected?

03

Changed scope

What products, quantities, labor, interfaces, cleanup, and records are now included?

04

Credits

What original work or allowance is no longer owed, and where is the credit shown?

05

Cost formula

What supports materials, labor hours/rates, other charges, and the markup base?

06

Schedule

How many working days change, and what is the revised milestone or completion date?

07

Payment trigger

What observable event makes each changed-work payment due?

08

Approval

Do both parties receive the same dated, signed version before work or ordering begins?

Portable approval record

Keep the decision usable after it leaves HomeScope.

The four-page PDF captures the original scope, proposed scope delta, supporting cost lines, credits, markup formula, schedule effect, payment milestones, approval status, and revised project totals. It also includes a change log so several changes do not quietly erase the original budget.

Update the whole record

Check the complete change before approving it.

Keep changed scope, credits, markup, schedule effect, and the revised project total in one calculation.