Fiber laser cost per finished part is the total cost of the defined job divided by the number of accepted parts it produces. Include the material, setup, processing and finishing required for the same delivered scope. A low cutting cost does not necessarily produce the lowest finished-part cost.
The example below uses invented CAD amounts to explain the method. These are not Rise Tek prices, measured customer results or recommended shop rates. Replace them with your own job records before using the model to compare equipment or quote work.
Define what “finished” includes
State the endpoint: cut blanks ready for bending, deburred components ready for assembly, or another agreed condition. Comparing cut-only blanks with inspected and packaged parts produces a misleading difference. Apply the same material and inspection requirements to each option.
Choose a complete batch rather than a single favourable cut. Record the attempted quantity, accepted quantity, scrap treatment and any reusable remnant. Keep the units visible: minutes, hours, sheets, kilograms and pieces are not interchangeable.
Add the batch costs once
| Cost item | Illustrative batch cost |
|---|---|
| Material charged to this job, after the chosen scrap/remnant treatment | $600 |
| Programming and setup labour | $90 |
| Direct production and handling labour | $120 |
| Electricity, assist gas and consumed process items | $70 |
| Finishing and inspection | $80 |
| Allocated equipment and overhead cost | $140 |
| Total batch cost | $1,100 |
If all 100 attempted parts are accepted, cost per finished part is $1,100 ÷ 100 = $11.00. If only 95 are accepted and the batch cost remains $1,100, it is $1,100 ÷ 95 = $11.58, rounded to cents. Add any extra rework cost before dividing; do not assume it is free.
The overhead row in this example excludes the labour and process costs already listed. If your internal machine-hour rate already includes electricity, depreciation, maintenance or labour, do not add those items again. Document what each rate contains.
Separate repeat costs from first-run costs
Programming may be reusable, but later batches can still need setup, checking and material handling. Show first-run and repeat-batch estimates separately. If a setup is spread across several jobs, explain the allocation instead of making every small batch appear to carry the full cost.
Use actual staffed time for labour. If one operator supervises overlapping activities, assign time consistently so two machines do not each receive the same full labour charge. Also record unattended time separately from time requiring supervision.
Compare nesting and cutting speed through the same endpoint
A tighter nest can change material usage, part removal and scrap handling. A faster cut can still leave finishing work or move the bottleneck to another operation. Record both effects in money and accepted output rather than ranking a process by a single percentage.
Suppose an alternative to the example saves $60 in material but adds $40 in handling and $30 in finishing. With the same 100 accepted parts, total cost becomes $1,110, or $11.10 each. The improved material result alone would hide a $10 batch-cost increase.
Our sheet-nesting guide explains the workflow trade-offs. Collect representative measurements with the sample-cut scorecard before comparing machine options.
Use the result without confusing cost, price and investment
Job cost is not a selling price. Pricing may also need to cover commercial risk, capacity constraints and your profit objective. An allocated equipment cost is not necessarily the cash payment due that month. Keep job costing, monthly cash flow and capital investment evaluation as separate views with consistent assumptions.
When comparing subcontracting with ownership, use the same delivered scope and avoid counting both allocated overhead and the same fixed costs again. The outsourcing break-even guide addresses that decision separately.
Download the blank batch-cost worksheet. It contains prompts and units for a manual calculation, not automatic formulas. Keep source records beside it so another person can understand the estimate.
Should I divide by attempted or accepted parts?
For cost per accepted finished part, divide by accepted output. Include the costs incurred on rejected parts in the batch total, with scrap credits treated consistently.
Can I use a quoted maximum speed?
Use a measured or supportable time for the actual job and configuration. A maximum travel or cutting speed does not describe the complete batch cycle.