Labor and Material Cost Spreadsheet

Labor and Material Cost Spreadsheet

Download Free Labor and Material Cost Spreadsheet

The material, labor and expenses is the common way of classifying costs of any manufacturing business based on the nature of cost. All the costs incurred can be classified into these three categories. Material means all kinds of material used for the production of a product or service, labor means all types of human labor and expenses means all the remaining costs not falling under material and labor.

Estimating the labor requirements is one of the most important parts of estimating and costing the cost of labor. It is often more than half the cost of a job. An error in this area can be very costly to the workplace. Labor costs depend on the time it will take to manufacture an item. 

To work this out, it helps to break the job down into the different steps required and then estimate the time it would take someone to complete each step.