Job Shop Solutions

Quoting & Pricing Models

The difference between a profitable and unprofitable job shop often comes down to quoting accuracy. Under-pricing loses money; over-pricing loses customers. Modern quoting uses data-driven cost models that account for cutting time, material, gas consumption, and setup — not just gut-feel estimates.

Quick Answer

The most accurate quoting method combines material cost + cutting time × machine rate + setup charge + margin. Typical machine rates for a 6kW fiber laser: $125–$175/hour (fully loaded cost including depreciation, gas, power, labor, and maintenance). Add 15–30% margin on top. For repeat work, offer 5–10% volume discounts to lock in customers.

Pricing Model Comparison

ModelHow It WorksAccuracyBest ForRisk
$/hour flat rateFixed rate × estimated hoursMediumSimple parts, known cyclesComplex parts undercosted
$/inch cut lengthRate per inch of cut pathGoodStandard thicknessesIgnores piercing time
$/piercing + $/inchPer-pierce charge + per-inch cutVery GoodComplex parts, many holesRequires CAM data
Cycle-time basedActual NC cycle × machine rateExcellentAll part typesRequires simulation

Machine Rate Calculation

Fully Loaded Hourly Cost (6kW Fiber Laser)

Cost ComponentMonthlyPer Hour% of Total
Machine depreciation (60 mo)$6,000$17.6513%
Operator labor (loaded)$8,500$25.0018%
Assist gas (N₂ bulk)$4,000$11.769%
Electricity$2,800$8.246%
Consumables (nozzles, lenses)$2,200$6.475%
Maintenance/service$2,500$7.355%
Facility (rent, insurance)$3,500$10.297%
Overhead (admin, software)$5,000$14.7111%
Total Loaded Cost$34,500$101.47
Sell Rate (30% margin)$131.91

Based on 340 productive hours/month (two 8-hour shifts, 5 days/week, 85% utilization).

Related Topics

Disclaimer: Cost figures are representative of North American markets in 2025–2026. Actual costs vary by region, utility rates, labor market, and equipment financing terms.