Calculate your total manufacturing cost, cost per unit, selling price and expected profit before you price your product.
Know the True Cost of Manufacturing Every Product
Free ToolTotals use Material, Labour and Overhead tabs. Set quantity for cost per unit.
Selling price is planned on total manufacturing cost from other tabs.
Profit analysis uses manufacturing cost and the selling price planner settings. Click Calculate.
The total of material, labour and production overhead required to make a product — the foundation of pricing and profitability.
Direct costs (raw material, direct labour) can be traced to units. Indirect costs (rent, power, supervision) are shared across production.
COGM is the manufacturing cost of goods completed in a period. Unit cost = total manufacturing cost ÷ units produced.
Ignoring wastage, under-allocating overhead, forgetting packaging, and pricing only on material cost.
Material, labour and factory overhead used to produce goods — not usually selling or distribution costs.
Total manufacturing cost divided by number of units produced in the same batch or period.
Wages of workers who physically work on the product (e.g. machine operators, assemblers).
Indirect production costs: power, rent, depreciation, QC, supervision, factory admin.
Input GST may be creditable; selling price planner can show price with GST separately.
Add a desired margin on manufacturing cost, then add applicable GST if quoting tax-inclusive.
The price equal to unit manufacturing cost — zero profit before other business expenses.
High material share means supplier negotiations and wastage control matter most.
When major inputs change, or at least monthly for active product lines.
It is a non-cash cost for costing; still include it for full absorption costing.
Allocate shared overhead fairly by units, machine hours or labour hours as appropriate.
Yes — it forces complete cost listing before you set prices.
Yield loss, cold chain and packaging often dominate; track wastage carefully.
Fabric yield, trims and skilled labour efficiency drive unit cost.
COGS also reflects inventory changes; this tool focuses on production costing for a run.
Negotiate materials, cut wastage, improve labour productivity, optimise power and maintenance.
Usually direct material if product-specific packaging.
Industry-dependent; always cover overhead and leave room for selling costs and risk.
No — it is a planning and education tool for MSMEs and quick scenarios.
Test material or labour inflation and see impact on total cost and planned profit.
Disclaimer: This calculator provides estimated manufacturing costs for educational and planning purposes only. Actual costs depend on production methods, wastage, labour efficiency and factory operations.
Calculate the true cost of making your product with this free Manufacturing Cost Calculator. Add raw materials, packaging, labour, electricity, rent, depreciation and other production expenses to calculate your total manufacturing cost, cost per unit, recommended selling price, GST and expected profit.
Ideal for MSMEs, manufacturers, startups, traders and small businesses that want to price products accurately and avoid underpricing.
Manufacturing cost is the total cost required to produce a product. It generally includes raw materials, direct labour and manufacturing overheads such as electricity, factory rent, depreciation, repairs and quality control.
The basic formula is:
Total Manufacturing Cost = Material Cost + Labour Cost + Manufacturing Overheads
To calculate the manufacturing cost per unit:
Cost Per Unit = Total Manufacturing Cost ÷ Production Quantity
Once you know your cost per unit, you can add your desired profit margin and applicable GST to determine a suitable selling price.
This helps manufacturers and MSMEs avoid one of the most common pricing mistakes: calculating the selling price only from raw material cost while ignoring labour and overhead expenses.
Many businesses calculate product prices by looking only at raw material costs. This can result in underpricing and lower-than-expected profits.
This calculator helps you include:
You can also use the What-If Analysis to see how changes in material or labour costs could affect your product profitability.
A manufacturing cost calculator helps businesses calculate the total cost of producing a product by combining material, labour and production overhead costs.
Divide the total manufacturing cost by the number of units produced.
Cost Per Unit = Total Manufacturing Cost ÷ Production Quantity
Start with the manufacturing cost per unit, add your desired profit margin and then add applicable GST if you are quoting a tax-inclusive price.
Yes. The calculator is designed for quick manufacturing cost and pricing estimates for MSMEs, startups, manufacturers and small businesses.
Yes. The What-If Analysis lets you test increases in material and labour costs and see their potential impact on your manufacturing cost and profitability.
Want to check your pricing and costs from different angles? Try these free BusinessZindagi tools:
This calculator provides estimates for business planning and educational purposes only. Results depend on the costs, quantities, taxes, margins and other information entered by the user. Actual manufacturing costs, selling prices and profits may vary based on supplier prices, production conditions, wastage, taxes, market prices and other business expenses.
BusinessZindagi does not guarantee the accuracy or profitability of any calculation. Always verify important figures with your actual invoices, quotations, accounting records and professional adviser before making financial or pricing decisions.