What is time-and-materials work in Swiss construction?
What does working on a time and material basis mean?
With time and material work, the final price is not set as a flat fee from the start. You are billed for what was actually used to complete the agreed-upon service, such as labor hours, materials, vehicles, or machinery. The applicable rates for these should be known or contractually agreed upon before work begins.
Time and material billing is particularly suitable when the scope and duration of a job cannot be reliably determined in advance. It provides flexibility but requires precise documentation. Without clear, traceable records, a small additional task can quickly turn into a long discussion.
Typical situations for time and material work
- An existing structure differs from the provided documentation.
- The site management requests a last-minute change.
- Damage must first be exposed and inspected.
- Additional work is not included in the original bill of quantities .
- The scope only becomes apparent during execution.
- Urgent securing or repair work cannot wait for a full quote.
How is daywork billed?
Billing is based on the agreed pricing structure. This can include hourly rates by role, material costs, machine hours, vehicle expenses, as well as surcharges and discounts. The key is that the work performed and the associated costs can be clearly linked.
The daywork report provides the operational basis for this. It describes the work performed and lists the quantities and hours used. The invoice is a subsequent commercial step; therefore, the report and the invoice are not the same thing.
Daywork or a change order?
If an additional service can be clearly described and calculated before execution, a change order may be more appropriate. It provides clarity on the scope and price in advance. Daywork is more practical when the actual effort is still unknown or work needs to begin on short notice. Both methods can be used within the same project.
Practical example
When opening a ceiling, it becomes apparent that the conduit routing deviates from the plans. Before the actual installation can begin, two employees must expose, secure, and document the situation. It was impossible to determine how long this would take beforehand. The additional work is carried out on a time-and-materials basis. The report includes the location, cause, steps taken, employees involved, hours worked, and materials used. Photos show the condition before and after the work.
The most common mistakes
- Vague descriptions: "Miscellaneous work" explains neither the location nor the service provided.
- Delayed recording: Times and quantities are estimated from memory.
- Lack of context: It is not clear who initiated or discussed the change.
- Unclear rates: Pricing is only discussed at the invoicing stage.
- Fragmented storage: Photos, notes, and reports are scattered across different chats or folders.
Organize time and material work digitally
A digital workflow links the service directly to the project, employees, materials, and resources. The report can be created, reviewed, signed, and shared as a PDF on-site. In the Caturix digital project management system documentation stays with the corresponding order instead of getting lost between paper, WhatsApp, and email.
Frequently asked questions about time and material work
Is time and material work always more expensive than a fixed price?
Not necessarily. When the scope is unclear, a fixed price often includes a risk premium. Time and material billing charges for the actual effort, but requires transparent rates and clean documentation in return.
Can materials also be billed on a time and material basis?
Yes, if this is part of the agreed pricing structure. In addition to labor hours, materials, vehicles, machinery, rentals, or other costs can be recorded. The rates and any applicable surcharges should be transparent.
Who records the time and material work?
Ideally, the person who knows the work and the context – often the site manager, foreman, technician, or project manager. The commercial review can then be carried out in the office.