Construction Change Order Example: A Filled-In Sample, Line by Line
A change order construction example should show eight things: a number and date, the project and contract it belongs to, a plain description of the change, the reason, an itemized price, the schedule impact, the revised contract total, and signatures with payment terms. Below is a filled-in sample for a made-up custom home, written out line by line, with notes on why each line is there. Every name and number in it is hypothetical.
Most builders have seen a blank change order form. Fewer have seen a good one filled in. The blanks aren’t the hard part. Knowing what to write in them is.
What does a change order mean in construction?
In construction, a change order is a written, signed amendment to the contract that documents a change to the scope of work and what that change does to the price and the schedule. If the signed plans and specifications say one thing and the house is going to get another, a change order is the document that connects the two.
That applies to additions, deletions, substitutions, and changes that cost nothing. The form is the same every time. For the full process around the form, see how to write a construction change order.
The scenario behind this change order example
Here’s the hypothetical job. A builder is constructing a custom home for clients we’ll call the Smiths, under a fixed-price contract of $850,000. Two earlier change orders have added a net $12,400. The slab is poured and plumbing is roughed in.
At the framing walk, the Smiths decide they want the kitchen island moved three feet toward the living room, with a prep sink added to it. It sounds small. It touches four trades.
Change order in construction: the sample, line by line
Here is how the form reads once it’s filled in.
Change order number: CO #3
Date issued: March 10
Project: Smith Residence, 123 Example Lane
Contract reference: Construction agreement dated November 1, between the builder and John and Jane Smith
Requested by: Owner, at the framing walk on March 6
Reason for change: Owner-requested design change
Description of change: Relocate the kitchen island 36 inches toward the living room from the location shown on plan sheet A-2. Add one prep sink to the island, owner’s selection from the plumbing fixture allowance. Work includes saw-cutting and patching the slab for a new drain and supply lines, relocating the island floor outlet, and revising the cabinet shop drawings for a sink base. The main kitchen sink and all other cabinetry remain as drawn.
Itemized cost:
Plumbing, new drain, vent, and supply: $1,800
Concrete, saw-cut and patch slab: $1,200
Electrical, relocate floor outlet: $650
Cabinets, revised shop drawings and sink base: $900
Direct cost subtotal: $4,550
Builder markup at 20%, per contract: $910
Administrative fee, per contract: $250
Total this change order: $5,710 (addition)
Schedule impact: 4 working days added to the completion date.
Contract summary:
Original contract amount: $850,000
Net of previous change orders, CO #1 and CO #2: $12,400
Contract amount before this change: $862,400
This change order: $5,710
Revised contract amount: $868,110
Payment terms: Due in full at signing, before work on this change begins.
Approval deadline: This price is valid through March 14. Framing of the kitchen proceeds per the original plans after that date.
Signatures: Owner, owner, and builder, each with a date.
Why is each line on the change order form there?
Every line is on the form because somebody, somewhere, lost an argument without it.
The number. Sequential numbers make gaps obvious. If there’s a CO #2 and a CO #4, someone is going to ask about CO #3.
The plan reference. Citing sheet A-2 ties the change to what was originally agreed. “Move island” means nothing two years later.
What isn’t changing. The sentence about the main sink and other cabinetry closes the door on “I thought that was included.”
The itemized trades. Clients accept a number more easily when they can see four trades behind it. It also forces you to price all four.
Markup and fee “per contract.” Those two words remind everyone the rate was agreed on day one. More on setting it in change order markup.
Schedule impact. Always filled in. Write “0 days” if that’s the answer. A blank is an invitation to argue about the completion date later.
The running total. The client should never have to do arithmetic to know what the house costs now.
The deadline. Without one, the job waits on a decision. With one, the default is the original plan.
Should a change order template be Excel, Word, or PDF?
The format matters less than using the same one every time, but each has a natural job.
Spreadsheet. Best for building the price, since the subtotal, markup, and revised contract total calculate themselves. Fewer math errors.
Word processor document. Best when the description needs room, which it usually does.
PDF. Best for what the client actually signs. It can’t be accidentally edited, and it works with electronic signatures.
A lot of builders prepare the change order in a spreadsheet or document, export it to PDF for signature, and keep a separate log listing every change order with its status and amount. If you’d rather start with a finished form than build one, our Custom Home Change Order Template comes with a guide to the system around it.
What mistakes show up on real change order forms?
One-line descriptions. “Add sink, $5,710” will not survive a disagreement.
A lump sum with no breakdown. It reads like a guess, even when it isn’t.
No schedule line. You gave away four days and didn’t notice.
One signature. If two people signed the contract, two people sign the change.
Signed after the work is done. At that point it’s a bill, and bills get negotiated.
The requirement that changes be written and signed should come from your contract. I cover that language in the change order clause.
Frequently asked questions
What is an example of a change order in construction?
A common one is a client asking to move or add something after rough-in, like relocating a kitchen island and adding a sink. The change order describes the new work, prices each trade involved, adds the builder’s markup, and states the added days and the new contract total.
What should a change order form for construction include?
A number and date, project and contract reference, description, reason, itemized price, schedule impact, revised contract total, and signatures with payment terms.
Does a credit use the same change order form?
Yes. A deletion or downgrade goes on the same form, with the total shown as a credit and the contract amount revised downward.
Who fills out a construction change order?
The builder prepares it, because the builder has the pricing from the trades. The client reviews, signs, and pays before the work starts.
BTW, if you’d like this exact kind of form ready to fill in on your next job, grab our Custom Home Change Order Template over at the Building Optimal Shop, where you can check out the rest of our swag to build a better business. Proceeds go to benefit, Exponencialistas, my non-profit investing in entrepreneurs transforming their communities in Latin America.