Fastener Manufacturing & Thread Rolling worked example

Labor Cost at 110% chargeable labor capture: a worked example in fastener manufacturing & thread rolling

What does the result look like when chargeable labor capture reaches 110%? The full calculation is worked below with real intermediate numbers. Use it when costing heading, thread rolling, secondary operations, inspection, sorting, packaging, or setup labor for a fastener lot.

The inputs for this scenario

  • Direct labor hours for the lot: 14 hr (unchanged)
  • Loaded labor rate: 48 $ / hr (unchanged)
  • Chargeable labor capture: 110 % (raised for this scenario; the documented default is 100)
  • Fixed setup or crew labor cost: 160 $ (unchanged)

Working through the calculation

  • Applying the documented formula (Labor cost = direct labor hours × loaded labor rate × labor capture + fixed labor cost) to the inputs above produces each figure below.
  • At this operating point the engine returns 899 $ for total fastener labor cost, the number this scenario is built around.
  • At this operating point the engine returns 64.23 $ / hr for average cost per labor hour.
  • At this operating point the engine returns 739 $ for variable labor cost.
  • At this operating point the engine returns 160 $ for fixed labor cost.

How this compares with the baseline

  • Against the tool's baseline example, where chargeable labor capture sits at 100% and the headline result is 832 $, this scenario comes in 8.08% above the baseline at 899 $.
  • A figure at this level is achievable when chargeable labor capture is genuinely sustained, not just peaked for a shift. It assumes a single blended loaded rate and does not break out multiple operators, shift premiums, or overtime at different rates within the same lot.

Results at a glance

  • Total fastener labor cost: 899 $ (headline result)
  • Average cost per labor hour: 64.23 $ / hr
  • Variable labor cost: 739 $
  • Fixed labor cost: 160 $

Run it with your numbers

  • Every input above is editable in the live Labor Cost calculator, which recalculates instantly and can be shared with the inputs intact.

Last reviewed 2026-05-12.