What is Contingency?
Contingency. A reserve built into a price for the unknowns a job is likely to reveal — common on remodels and older homes.
Why it matters to your pricing
A contingency funds the surprises behind the wall without padding the base quote. On unpredictable jobs, it's the difference between a managed risk and a loss.
This is a general educational definition, not financial or legal advice. Confirm anything regulated with your accountant or state board.