How do I calculate the real margin on a scrap load against the daily index?

Start with the mill's published index for the grade, then subtract everything that shrinks the net weight and price. The Commodity Price Margin calculator sets your buy-to-sell spread, and you feed it deductions from Contamination Penalty and Melt Loss Estimate so a 5 percent contamination and 2 to 3 percent melt loss come out of the gross before you commit a price. What is left after Scrap Freight Burden is your true margin per ton.

How much melt loss should I budget for ferrous versus nonferrous scrap?

Melt loss depends on oxidation, coatings, and fines. Clean, heavy ferrous often runs 2 to 4 percent, while dirty, rusty, or light-gauge material can lose 8 to 12 percent or more. Nonferrous like aluminum can see 5 to 10 percent from dross. The Melt Loss Estimate calculator lets you set the loss percentage by grade so your Recovered Material Yield reflects net sellable tons rather than gross intake weight.

What does a contamination deduction actually cost me per ton?

A contamination deduction cuts both weight and price. If a load grades at 6 percent contamination on a ton bought at index, the Contamination Penalty calculator removes that non-metallic weight and can apply a downgrade to a lower-paying grade. On a load worth several hundred dollars per ton, a few points of contamination often costs 15 to 40 dollars per ton once the downgrade is applied, which is why it belongs in the buy price up front.

How do I figure sort labor cost for a mixed nonferrous pile?

Sort labor is driven by how fine the separation has to be and the pounds sorted per labor hour. The Scrap Sort Labor calculator takes your crew's throughput rate, wage plus burden, and the load weight to give a cost per ton. A mixed nonferrous pile separated into copper grades, brass, and aluminum can run a fraction of a cent to several cents per pound, which comes straight off the margin if you paid a clean-grade price for dirty material.

How do I size shear and baler throughput against my incoming volume?

Match tons per hour of processing capacity to your intake and inventory targets. The Shear/baler Throughput calculator uses cycle time, tons per cycle, and shift hours to give daily output, and Equipment Utilization shows how much of rated capacity you actually hit after downtime and changeovers. If throughput lags intake, Yard Inventory Turns will show piles aging and tying up cash while commodity prices move against you.

When is torch cutting worth the added cost versus shearing oversized pieces?

Torch cutting adds gas, labor, and time, so it pays only when material is too large or thick for the shear or when a cleaner cut recovers a higher grade. The Torch Cutting Cost calculator prices oxygen and fuel gas consumption plus operator time per cut, letting you compare it against Shear/baler Throughput. For structural and heavy plate that would jam the shear, torch cutting often protects both the machine and the grade despite costing more per ton.

Manufacturing calculator category

Metal Recycling, Scrap Processing & Salvage calculators

This category covers the numbers that decide whether a scrap yard makes money on each load: labor to sort a mixed pile, machine throughput, melt loss, and the spread between your buy price and the mill's published index. It is built for yard managers, buyers, and brokers handling ferrous and nonferrous streams.

What this hub covers

Calculators for scrap yards and metal recyclers covering sort labor, shear and baler throughput, melt loss, commodity margin, contamination deductions, and recovery yield.
Browse metal recycling, scrap processing & salvage calculators for manufacturing planning, quoting, quality, capacity, and operations decisions.

Best calculators in this category

Scrap Sort Labor: Estimate scrap sort labor for metal recycling, scrap processing and salvage using production-ready inputs so teams can plan labor hours, schedule the work, or check whether the job fits the available shift time.
Shear/baler Throughput: Estimate shear/baler throughput for metal recycling, scrap processing and salvage using production-ready inputs so teams can confirm whether capacity can cover demand before committing the schedule.
Melt Loss Estimate: Estimate melt loss estimate for metal recycling, scrap processing and salvage using production-ready inputs so teams can track KPI performance and decide whether corrective action is needed.
Commodity Price Margin: Estimate commodity price margin for metal recycling, scrap processing and salvage using production-ready inputs so teams can track KPI performance and decide whether corrective action is needed.
Contamination Penalty: Estimate the contamination penalty applied to a scrap load from tonnage, dockage rate, contamination level, and fixed handling fees.
Truck Scale Capacity: Estimate truck scale capacity for metal recycling, scrap processing and salvage using production-ready inputs so teams can confirm whether capacity can cover demand before committing the schedule.
Yard Inventory Turns: Estimate yard inventory turns for metal recycling, scrap processing and salvage using production-ready inputs so teams can plan replenishment and safety stock using actual usage and lead time.
Torch Cutting Cost: Estimate oxy-fuel torch cutting cost for scrap sizing from operator hours, loaded rate, productive time, and consumable setup.
Scrap Freight Burden: Estimate scrap freight burden for metal recycling, scrap processing and salvage using production-ready inputs so teams can plan labor hours, schedule the work, or check whether the job fits the available shift time.
Recovered Material Yield: Estimate recovered material yield for metal recycling, scrap processing and salvage using production-ready inputs so teams can track KPI performance and decide whether corrective action is needed.
Equipment Utilization: Estimate equipment utilization for metal recycling, scrap processing and salvage using production-ready inputs so teams can track KPI performance and decide whether corrective action is needed.
Supplier Grade Variance: Estimate supplier grade variance for metal recycling, scrap processing and salvage using production-ready inputs so teams can compare measurements against the expected process or specification window.

Common manufacturing problems solved

metal recycling
scrap processing
salvage
commodity
ferrous scrap
nonferrous scrap
scrap yard
recovery yield

Live market signals for this industry

The producer price index for steel mill products stands at 361.439 (BLS, Jun 2026), up 16.9% from a year earlier. Quotes priced off last quarter's material cost miss this move.
U.S. iron and steel imports ran $2.2B in Jun 2026 (Census International Trade). The U.S. ran a trade deficit of $0.4B in the category that month. Import volumes are the pressure gauge behind tariff and reshoring decisions.

Category questions

How do I calculate the real margin on a scrap load against the daily index? Start with the mill's published index for the grade, then subtract everything that shrinks the net weight and price. The Commodity Price Margin calculator sets your buy-to-sell spread, and you feed it deductions from Contamination Penalty and Melt Loss Estimate so a 5 percent contamination and 2 to 3 percent melt loss come out of the gross before you commit a price. What is left after Scrap Freight Burden is your true margin per ton.
How much melt loss should I budget for ferrous versus nonferrous scrap? Melt loss depends on oxidation, coatings, and fines. Clean, heavy ferrous often runs 2 to 4 percent, while dirty, rusty, or light-gauge material can lose 8 to 12 percent or more. Nonferrous like aluminum can see 5 to 10 percent from dross. The Melt Loss Estimate calculator lets you set the loss percentage by grade so your Recovered Material Yield reflects net sellable tons rather than gross intake weight.
What does a contamination deduction actually cost me per ton? A contamination deduction cuts both weight and price. If a load grades at 6 percent contamination on a ton bought at index, the Contamination Penalty calculator removes that non-metallic weight and can apply a downgrade to a lower-paying grade. On a load worth several hundred dollars per ton, a few points of contamination often costs 15 to 40 dollars per ton once the downgrade is applied, which is why it belongs in the buy price up front.
How do I figure sort labor cost for a mixed nonferrous pile? Sort labor is driven by how fine the separation has to be and the pounds sorted per labor hour. The Scrap Sort Labor calculator takes your crew's throughput rate, wage plus burden, and the load weight to give a cost per ton. A mixed nonferrous pile separated into copper grades, brass, and aluminum can run a fraction of a cent to several cents per pound, which comes straight off the margin if you paid a clean-grade price for dirty material.
How do I size shear and baler throughput against my incoming volume? Match tons per hour of processing capacity to your intake and inventory targets. The Shear/baler Throughput calculator uses cycle time, tons per cycle, and shift hours to give daily output, and Equipment Utilization shows how much of rated capacity you actually hit after downtime and changeovers. If throughput lags intake, Yard Inventory Turns will show piles aging and tying up cash while commodity prices move against you.

Last reviewed 2026-05-12.