Costing
Hourly rates, unit costs, quotes, quantity pricing, and post-calculation.
In short: Costing
CNC costing derives the full cost per part from material, machine and labour hours, setup and programming time and overheads, and from that the quoted price. The calculators follow overhead-based costing and the machine-hour rate method of VDI 3258. Default values are starting points; the rates from your own cost accounting are what count.
Frequently asked questions about Costing
How do you calculate a machine hourly rate?
Add the annual machine costs, that is imputed depreciation, interest on the tied-up capital, space, energy and maintenance costs and other fixed costs, and divide the total by the productive hours per year (VDI 3258). Labour is not included; it is added through the labour hourly rate.
What is the difference between markup and margin?
A markup relates profit to cost: price = cost × (1 + markup). A margin relates it to the selling price: price = cost / (1 − margin). A 20 % margin therefore equals a 25 % markup; for the same percentage, the margin gives the higher price.
Why does the unit price fall with batch size?
Setup and programming occur once per batch. Spreading these one-off costs over more parts lowers their share per part, while material and machining time per part stay the same. Quantity pricing therefore drops steeply at small quantities and flattens out at large ones.
What does a post-calculation show?
It compares planned and actual quantities, times and costs of an order and splits the deviation into causes such as scrap, material price, cycle time, setup time and external services. These causes show which defaults to correct in the next calculation.