Hourly Labour Cost Calculator
Work out what one real billable labour hour costs after wages, payroll burden, and overhead are taken into account. This version follows the spreadsheet logic behind your original calculator.
Labour Inputs
Your Real Hourly Cost
$224.69/hr
Total Chargeable Hours
6,560
Chargeable Time %
78.8%
Calculation Breakdown
Field Employees4
Annual Chargeable Hours Per Employee1,640
Total Chargeable Hours6,560
Annual Overhead Expense$120,000.00
Total On-the-Tools Wages$120.00/hr
Wages × 1.3 Payroll Burden$156.00/hr
Total On-Tools Hourly Wages Per Chargeable Hour$197.79/hr
Hourly Overhead Cost$18.29/hr
Your Real Hourly Cost$216.08/hr
Professional Insights
• This is your true labour baseline before profit. If your pricing is below this once production is factored in, margin will get tight fast.