Overhead and profit (O&P)
By James Grokman, CEO, TapeAndFloat · Updated 2026-10-28
Overhead is what it costs to run your business, such as insurance, trucks, office and tools, that isn't tied to one job. Profit is what's left after all costs. O&P is the amount you add on top of direct job cost for both.
Why it matters on a drywall job
- Leaving overhead out of a bid can mean working at a loss even when the job goes well.
- Change orders usually carry O&P too. Check what your contract allows.
Related guides and tools
TapeAndFloat helps drywall and tape-and-float contractors keep up with the office side: bids, change orders, pay apps and follow-ups. Free 60-day pilot. If you stay on, we agree on the price with you up front.
¿Prefiere español? Gastos generales y utilidad (O&P).