Estimate vs Proposal: What's the Difference?
A common question is what the difference is between an estimate and a proposal. Here's a simple breakdown.
Estimate#
An estimate is your internal working document. It's where you:
- Build out the scope of work
- Add line items for labour and materials
- Calculate costs and margins
- Make adjustments with Sammy's help
- Reconcile with supplier pricing
Think of the estimate as your behind-the-scenes workspace. It contains all the detail you need to price a job accurately, including cost breakdowns, margins, and supplier information.
The estimate is for you, the tradie.
Proposal#
A proposal is the client-facing version of your estimate. When you send an estimate to a client, it becomes a proposal. The proposal:
- Looks professional and polished
- Shows only what you choose to display
- Can hide sensitive information (like unit rates or margins)
- Includes your business branding
- Allows clients to accept, decline, or request changes
The proposal is for your client.
Key Differences#
| Aspect | Estimate | Proposal |
|---|---|---|
| Audience | You (internal) | Client (external) |
| Detail level | Full breakdown | Controlled by display settings |
| Margins visible | Yes | No |
| Supplier costs | Yes | No |
| Editable | Yes | Locked once sent |
| Client actions | N/A | Accept, decline, request changes |
Controlling What Clients See#
When you send a proposal, you choose the level of detail:
- Project total only – Just the bottom line
- Group totals – Totals for each section (e.g., "Framing: $2,500")
- Full item detail – Every line item visible
You can also toggle:
- Show/hide quantities
- Show/hide unit rates
- Show/hide scope of work
This means you can have a detailed estimate for your records while sending a simplified proposal to the client.
Workflow Summary#
- Create an estimate – Build out the job with Sammy
- Refine and finalise – Adjust pricing, reconcile with suppliers
- Send as proposal – Choose display settings and email to client
- Track the proposal – See when viewed, get client responses
- Convert to invoice – Once accepted, bill for the work
The estimate stays in your system. The proposal is what the client sees and interacts with.