Welding & Fabrication worked example

Fabrication Labor Cost with parts in the fabrication run of 250 parts: a worked example

What does the result look like when parts in the fabrication run reaches 250 parts? The full calculation is worked below with real intermediate numbers. Use it when quoting a fabrication job and you need a defensible labor line covering fitters, welders, finishers, indirect support, and burden.

The inputs for this scenario

  • Parts in the fabrication run: 250 parts (raised for this scenario; the documented default is 100)
  • Direct labor hours per part times loaded rate: 28 $ / part (unchanged)
  • One-time setup, programming, and fixturing labor: 320 $ (unchanged)
  • Indirect support and supervision: 450 $ (unchanged)

Working through the calculation

  • Applying the documented formula (Total fabrication labor cost = parts × direct labor cost per part + one-time setup labor + indirect support and supervision) to the inputs above produces each figure below.
  • At this operating point the engine returns 7,770 $ for total fabrication labor cost, the number this scenario is built around.
  • At this operating point the engine returns 31.08 $ / piece for fabrication labor cost per part.
  • At this operating point the engine returns 7,000 $ for direct labor cost per part.
  • At this operating point the engine returns 770 $ for setup, indirect, and supervision labor.

How this compares with the baseline

  • Against the tool's baseline example, where parts in the fabrication run sits at 100 parts and the headline result is 3,570 $, this scenario comes in 118% above the baseline at 7,770 $.
  • A figure at this level is achievable when parts in the fabrication run is genuinely sustained, not just peaked for a shift. It treats setup and indirect support as fixed for the run, so on very small lots the per-part number swings hard — and it does not include consumables, gas, wire, or machine burden, which are material/overhead, not labor.

Results at a glance

  • Total fabrication labor cost: 7,770 $ (headline result)
  • Fabrication labor cost per part: 31.08 $ / piece
  • Direct labor cost per part: 7,000 $
  • Setup, indirect, and supervision labor: 770 $

Run it with your numbers

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

Last reviewed 2026-05-12.