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Job Costing Calculator

Work out job costing instantly with clear inputs, formula shown and shareable results.

About Job Costing Calculator

Job costing accumulates cost against a specific order: direct materials, direct labour at the applicable rate, and overhead absorbed on a chosen basis — here labour hours. Prime cost is materials plus labour, and it is the figure to compare against a customer quote before overhead recovery.

Formulas

Total job cost

Job cost = Direct materials + (Hours x Labour rate) + (Hours x Overhead rate)

Prime cost

Prime cost = Direct materials + Direct labour

Worked example

With the default values below, Job Costing Calculator returns Total job cost of $10,920.00. Change any input above and every figure here is recalculated in your browser.

Inputs used

Direct materials
4,200
Direct labour hours
120
Labour rate per hour
34
Overhead absorption rate per hour
22

Results

Total job cost
$10,920.00
Prime cost (materials + labour)
$8,280.00
Direct labour cost
$4,080.00
Overhead absorbed
$2,640.00

Step by step

  1. 1Values used
  2. 2Total job cost
  3. 3Prime cost
  4. 4Total job cost= 10,920.00
  5. 5Prime cost (materials + labour)= 8,280.00
  6. 6Direct labour cost= 4,080.00
  7. 7Overhead absorbed= 2,640.00

Assumptions and limits

  • The result is derived only from the 4 inputs listed above. Anything not among them is not part of the calculation.
  • In particular, this calculator does not take inflation, tax, fees or charges or compounding frequency into account.
  • Figures are rounded for display to 2 decimal places, so totals built from several rounded parts can differ slightly from the unrounded arithmetic.
  • This is an estimate for general information and not professional financial, tax or legal advice. See the full disclaimer for the limits that apply to this kind of calculator.

How these calculators are built and tested is described on the Methodology page. If a figure looks wrong, please report it.

Frequently Asked Questions

What if the job uses machine time rather than labour?

Switch the absorption base to machine hours and enter the machine-hour overhead rate instead.

Should I add a profit margin here?

No — this is cost. Add the margin separately so cost overruns cannot be hidden inside the mark-up.

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