What is cost of goods sold (cogs)?
Cost of Goods Sold (COGS). The direct costs of delivering a job — materials, the labor that performed it, subs, and job-specific equipment. It excludes overhead.
Why it matters to your pricing
Separating COGS from overhead is what lets you see a job's true gross margin and price accurately.
This is a general educational definition, not financial or legal advice. Confirm anything regulated with your accountant or state board.