How do you calculate total rework cost?

Multiply units routed by per-unit labor and parts, scale by the recovery percentage, then add the fixed cell setup. For 1,200 units at $22 each with 85% recovery plus $2,500 setup, total rework cost is $24,940.

What is the cost per reworked unit?

Divide total rework cost by units routed to rework. In the worked example, $24,940 across 1,200 units is $20.78 per unit routed, useful for comparing against scrap-and-replace cost.

Should I rework or scrap failed sensor units?

Rework wins when the loaded per-unit rework cost stays below the fully burdened cost to build a fresh unit, and when the recovery rate is high enough that you are not paying to touch units that end up scrapped anyway.

What is the difference between variable and fixed rework cost?

Variable cost ($22,440 here) scales with the number of units and their recovery rate; the fixed adder ($2,500) is the one-time cell setup you pay regardless of volume. Spreading fixed cost over more units lowers per-unit cost.

Why does the recovery percentage matter so much?

You spend labor and parts on every unit you touch, but only recovered units return value. A low recovery rate means you are paying to rework units that still get scrapped, which inflates effective cost per good unit.

Does this include re-inspection and documentation cost?

Only if you fold those into the per-unit labor and parts figure. For medical devices, add re-test, re-inspection, and DHR documentation time to the per-unit rate so the number reflects true loaded cost.

Wearable Medical Sensors calculator

Rework Cost Calculator

Rework Cost quantifies what it truly costs to salvage failed wearable medical sensor units, re-flowing a solder joint on a flex PCB, re-laminating an electrode, or re-testing a sensor patch, rather than scrapping them. Production and cost engineers use it to decide whether rework beats scrap, to load rework labor into a quote, and to expose the fixed cost of standing up a dedicated rework cell. In a regulated environment, rework also carries documentation and re-inspection overhead, so knowing the loaded per-unit cost keeps salvage decisions from quietly eroding a program's margin. It splits total spend into a variable component that scales with volume and a fixed setup adder you pay once.

What this calculator does

Estimate the rework cost for wearable medical sensors pulled off the line for repair or salvage.
A production engineer costing a rework loop for sensors failing flex-circuit or adhesive inspection.
It computes total rework cost and the cost per reworked unit from the number of units routed, per-unit labor and parts, the recovery rate, and a one-time cell setup cost.

Formula used

Rework cost = units reworked x labor & parts per unit x (% recovered) + cell setup
Cost per reworked unit = rework cost / units routed to rework

Inputs explained

Units Routed to Rework:
Rework Labor & Parts per Unit:
Units Successfully Reworked:
Rework Cell Setup Cost:

How to use the result

Use it when a lot fails inspection and you must choose between rework and scrap, or when building rework overhead into a sensor program's cost model.
The formula credits only successfully recovered units against the variable cost but still books full setup, it does not capture the disposal cost or lost material value of the units that fail rework.

Current U.S. benchmarks

The producer price index for copper and brass mill shapes stands at 542.853 (BLS, Jul 2026), up 52.8% from a year earlier. Quotes priced off last quarter's material cost miss this move. Global copper trades at $13,543 per tonne (IMF via FRED, Jul 2026).
U.S. manufacturing runs at 76.0% of capacity with new factory orders at $657B per month (Federal Reserve and Census, Jun 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 total rework cost? Multiply units routed by per-unit labor and parts, scale by the recovery percentage, then add the fixed cell setup. For 1,200 units at $22 each with 85% recovery plus $2,500 setup, total rework cost is $24,940.
What is the cost per reworked unit? Divide total rework cost by units routed to rework. In the worked example, $24,940 across 1,200 units is $20.78 per unit routed, useful for comparing against scrap-and-replace cost.
Should I rework or scrap failed sensor units? Rework wins when the loaded per-unit rework cost stays below the fully burdened cost to build a fresh unit, and when the recovery rate is high enough that you are not paying to touch units that end up scrapped anyway.
What is the difference between variable and fixed rework cost? Variable cost ($22,440 here) scales with the number of units and their recovery rate; the fixed adder ($2,500) is the one-time cell setup you pay regardless of volume. Spreading fixed cost over more units lowers per-unit cost.
Why does the recovery percentage matter so much? You spend labor and parts on every unit you touch, but only recovered units return value. A low recovery rate means you are paying to rework units that still get scrapped, which inflates effective cost per good unit.

Last reviewed 2026-07-13.