Manufacturing Overhead Calculator


The overhead calculator below is provided by Prime Estimating and Software Services, LLC - providers of estimating software for AWI commercial architectural woodwork, casework, and store fixtures. © 2011 Prime Estimating & Software Services

This calculator is provided as a reference tool only. All business decisions should ultimately be made with the assistance and advice of an accredited business planner or accountant.

A.) General Overhead:
  • Insurances
$
  • Shop Supplies
$
  • Small Tools
$
  • Taxes/Licenses
$
  • Travel
$
  • Utilities
$
  • Miscellaneous
$
 
B.) Selling, General & Administrative Expenses:
  • Advertising
 $
  • Automotive
 $
  • Bad Debt
 $
  • Charitable Donations
 $
  • Computers/Internet
 $
  • Depreciation Expense
 $
  • Dues & Subscriptions
 $
  • Interest/Bank Charges
 $
  • Office Supplies/Postage
 $
  • Professional Fees
 $
  • Rent Expense
 $
  • Telephone
 $
  • Travel
 $
  • Miscellaneous
 $
 
C.) Salaries/Benefits:
  • Estimating
 $
  • Executive
 $
  • Office
 $
  • Benefits/Taxes
 $
 
D.) Selling/delivery:
  • Repairs & Maintenance
 $
  • Fuel/Oil
 $
  • Miscellaneous
 $
 
E.) Total Overhead Cost:
  • [A +B +C +D]
 $
 
F.) Less Overhead assigned to Material Cost:
  • Material Cost Overhead:
 $
 
G.) Total Overhead Cost assigned to Direct Labor:
  • [E minus F]
 $
 
  Scenario 1 Scenario 2 Scenario 3
H.) Estimated Hours of direct labor per year:      
 
I.) Recover applicable overhead cost from direct labor: [G divided by H]  %  %  %
 
J.) Blended Rate including benefits & taxes: $ $ $
 
K.) Overhead Cost for direct labor:
[I * J]		 $ $ $
 
 
L.) Total Labor Cost with overhead, taxes, benefits: $ $ $
 
 
The overhead calculator above is provided by Prime Estimating and Software Services, LLC - providers of estimating software for AWI commercial architectural woodwork, casework, and store fixtures. © 2011 Prime Estimating & Software Services

Notes:

  1. Typically % is between 75% and 125%. Please check with your accounting professional to confirm values and %.
  2. If yearly hours that differ from estimated direct labor hours shown in Scenario #1-2-3:
    • below hours will result in a loss or reduction in profit
    • hours above will result in extra profit subject to some slight
      overhead costs
  3. Overhead assigned to Material Cost, calculate Overhead divides by total material purchases

Related Information: Product Directory
Knowledge Base
Forums
Exchanges
Today's Sponsors
  • Lockdowel, Inc.
    Invisibile Fastening Solutions for Fast and Accurate Assembly
  • The Millwork Studio
    Millwork Shop Drawings and Estimates
  • KCD Software
    Powerful 3D Cabinet/Closet Design Software with Built-In Touchscreen Mode for Mobile Use with Best Production Practices Including Direct to Cut List, Cabinotch and/or CNC Machining
  • Tooling on the Web
    Tooling and Tooling Accessories - Free Re-Sharpening for Qualifying Tools
  • Shop Gear Inc.
    Distributor of Co-matic Power Feeders, Le-matic Portable Edgebanders, and Supplier of Woodworking Machinery, Tooling and Accessories in North America
  • CabMaster Software
    The Easiest Custom Cabinetry Software
  • Parts Cutter CNC
    CNC Cabinetry and Closet Parts
  • Professional Machinery Group
    New and Used Machinery Serving the Needs of the Professional Woodworker
  • Weinig Group-USA
    Wood Moulders and Knife Grinding Equipment
  • GreCon
    Spark Detection and Extinguishment Systems and Quality Assurance Measuring Equipment
  • Rangate
    Woodworking Machinery, Supplies and Knowledge
  • MachineryMax
    New and Used Machinery for the Professional Woodworker
  • Rose Machinery
    Horizontal Band Re-rips, Standard & Custom Designed Machinery

Become a Sponsor today!