Input Parameters

Results

--
Overhead Rate
$/hr
--
Total Annual Overhead
$
--
Overhead as % of Labor
%
--
True Cost per Weld Hour
$/hr
Note: Typical overhead rates range from 40-120% of direct labor cost. Include: equipment depreciation, maintenance, consumable storage, compressed gas rental, safety equipment, waste disposal, and insurance.

Reference

Total Overhead = Equipment + Shop + Utilities + Supervision/QC Overhead Rate = Total Overhead / Annual Welding Hours Overhead % = (Overhead Rate / Base Labor Rate) x 100 True Cost = Base Labor Rate + Overhead Rate