Enter the cost of direct materials, cost of direct labor, and overhead costs into the calculator to determine the total manufacturing cost.

Total Manufacturing Cost Formula

The following formula is used to calculate the total manufacturing cost.

MC = RM + DL + OH
  • Where MC is the total manufacturing cost
  • RM is the raw material cost
  • DL is the direct labor cost
  • OH is the manufacturing overhead cost

To calculate the total manufacturing cost, add together the raw material cost, direct labor cost, and manufacturing overhead cost.

Total Manufacturing Cost Definition

A total manufacturing cost is the sum of the cost of raw material, direct labor, and manufacturing overhead.

Total Manufacturing Cost Example

How to calculate total manufacturing cost?

  1. First, determine the cost of raw material.

    Evaluate the total cost of the raw material that went into the product.

  2. Next, determine the direct labor.

    Evaluate and determine the total value of the labor that went into producing the good.

  3. Next, determine the overhead.

    Determine the additional overhead cost associated with the operation.

  4. Finally, calculate the total manufacturing cost.

    Add together all the values from steps 1-3 to find the total cost.


What is total manufacturing cost?

Total manufacturing cost is the total cost associated with producing a good including raw material, labor, and overhead.