How do you calculate electronics rework cost?

Multiply the number of assemblies requiring rework by the variable rework cost per assembly, then add labor/setup and retest/overhead. With 86 assemblies at $9.50 each plus $520 labor and $180 overhead, total rework cost is $1,517, or $17.64 per assembly.

What is a good rework cost per assembly?

There is no universal target — it depends on board complexity — but most EMS shops flag any rework exceeding 10-15% of the assembly's standard cost. In the worked example, $17.64 per board is reasonable for a mid-complexity assembly but would be alarming for a low-cost passive-heavy board.

Should I rework or scrap a defective PCB?

Rework when the loaded rework cost per assembly is well below the fully burdened build cost and the defect doesn't risk reliability. If reworking a fine-pitch BGA approaches the cost of a new board, or risks latent solder-joint failures, scrapping is often cheaper over the product's warranty life.

Why is the per-assembly rework cost higher than the variable cost?

Because fixed labor, setup, and overhead spread across the lot. The variable material portion here is only $9.50, but labor ($520) and overhead ($180) add $700 across 86 boards — roughly $8.14 each — pushing the per-assembly figure to $17.64.

What costs should I include in rework overhead?

Retest and re-inspection (ICT, AOI, functional test), rework station depreciation, consumables like solder paste and flux, oven recovery energy, and any expedite or rescheduling cost. Excluding retest is the most common reason rework looks cheaper than it really is.

How does rework cost relate to first-pass yield?

Every point of first-pass yield loss generates rework or scrap. If you know your defective-assembly rate, this calculator converts it directly into dollars, letting you justify SPC, stencil, or reflow-profile improvements against the rework spend they eliminate.

Electronics Manufacturing calculator

Electronics Rework Cost Calculator

Electronics rework cost is the true loaded cost of correcting defective PCB assemblies — solder bridges, tombstoned passives, misaligned BGAs, or failed in-circuit tests — rather than scrapping them. SMT process engineers, NPI teams, and EMS quality managers use it to decide whether to rework or scrap a lot and to put a dollar figure on first-pass yield loss. It matters because a single touch-up at a rework station can quietly cost $15-$30 per board once you load in operator time, retest, and oven recovery. Tracking it turns abstract DPMO numbers into a budget line your plant manager actually feels.

What this calculator does

Estimate electronics rework cost from reworked units, variable rework cost, labor/setup cost, and overhead.
a quality or operations team needs to quantify the cost impact of rework
It computes the total loaded cost to rework a batch of defective assemblies and the resulting cost per assembly, combining variable material cost with fixed labor, setup, and overhead.

Formula used

Total electronics rework cost = assemblies requiring rework × variable rework cost + labor/setup + overhead
Rework cost per assembly = total electronics rework cost ÷ assemblies requiring rework

Inputs explained

Assemblies requiring rework:
Variable rework cost:
Rework labor and setup cost:
Retest, inspection, and overhead cost:

How to use the result

Use it when a reflow or wave lot fails AOI/ICT and you need to compare rework versus scrap, or when building a cost-of-quality case for a process improvement.
It assumes the assemblies are actually salvageable; if rework damages pads or lifts traces and the board later fails, the real cost includes the eventual scrap plus the wasted rework labor, which this model does not predict.

Current U.S. benchmarks

The producer price index for copper and brass mill shapes stands at 559.593 (BLS, May 2026), up 76.8% from a year earlier. Quotes priced off last quarter's material cost miss this move. Global copper trades at $13,484 per tonne (IMF via FRED, May 2026).
The U.S. has 11,261 computer and electronic products establishments employing about 815,443 workers (Census County Business Patterns, 2023).

Common questions

How do you calculate electronics rework cost? Multiply the number of assemblies requiring rework by the variable rework cost per assembly, then add labor/setup and retest/overhead. With 86 assemblies at $9.50 each plus $520 labor and $180 overhead, total rework cost is $1,517, or $17.64 per assembly.
What is a good rework cost per assembly? There is no universal target — it depends on board complexity — but most EMS shops flag any rework exceeding 10-15% of the assembly's standard cost. In the worked example, $17.64 per board is reasonable for a mid-complexity assembly but would be alarming for a low-cost passive-heavy board.
Should I rework or scrap a defective PCB? Rework when the loaded rework cost per assembly is well below the fully burdened build cost and the defect doesn't risk reliability. If reworking a fine-pitch BGA approaches the cost of a new board, or risks latent solder-joint failures, scrapping is often cheaper over the product's warranty life.
Why is the per-assembly rework cost higher than the variable cost? Because fixed labor, setup, and overhead spread across the lot. The variable material portion here is only $9.50, but labor ($520) and overhead ($180) add $700 across 86 boards — roughly $8.14 each — pushing the per-assembly figure to $17.64.
What costs should I include in rework overhead? Retest and re-inspection (ICT, AOI, functional test), rework station depreciation, consumables like solder paste and flux, oven recovery energy, and any expedite or rescheduling cost. Excluding retest is the most common reason rework looks cheaper than it really is.

Last reviewed 2026-05-12.