Manufacturing Overhead Calculator

Enter the total cost of goods sold, cost of raw materials, and direct labor costs. The calculator will evaluate and display the manufacturing overhead.

Manufacturing Overhead Formula

The following equation is used to calculate the manufacturing overhead of an item.

MO = COGS – CORM – LC

  • Where MO is the manufacturing overhead
  • COGS is the cost of goods sold
  • CORM is the cost of raw material
  • LC is the direct labor cost

Manufacturing Overhead Definition

Manufacturing overhead is term used in business to describe the total revenue a manufactured good earns minus it’s raw material cost and direct labor lost. This does not include indirect labor cost or machinery costs.

manufacturing overhead calculator

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