Teardown cost calculator. See where every dollar goes.
A teardown cost estimate rebuilds a finished product's price from its parts, assembly labour, packaging, overhead and supplier margin. List your parts and this calculator shows the product cost, each part's share and the three cost drivers most worth working on.
- Free, no sign-up
- Runs in your browser
- Save as PDF or email it
Parts costs are what the assembler pays its own suppliers. Overhead is applied to parts, assembly and packaging; margin to that plus overhead. Labour rates are indicative, so replace them with your supplier's figures.
Saved. Want a copy in your inbox or on WhatsApp as well? Optional.
Three steps. One clear answer.
- 01
List each part with its quantity per product and unit cost. Add or remove rows as needed.
- 02
Enter assembly minutes and the labour rate, packaging per product, overhead and supplier margin.
- 03
Read the product cost, the share of each part and the top three cost drivers to work on first.
Parts cost = Σ (quantity per product × unit cost). Assembly = assembly minutes ÷ 60 × labour rate per hour. Overhead is a percentage of parts, assembly and packaging; supplier margin is a percentage of that subtotal plus overhead. Product cost = parts + assembly + packaging + overhead + margin. Each share is that line ÷ product cost. The top three drivers are ranked among parts, assembly and packaging, the elements you can change directly. Labour rates are indicative, fully loaded hourly costs; replace them with your supplier's figures.
Results are estimates to support your decisions. For binding figures, ask our team or your customs broker.
Straight answers.
Anything else, ask us directly. A principal replies, not a bot.
[email protected]What is a product teardown?
A teardown takes a product apart, lists every part and estimates what each one costs to make or buy. Adding assembly, packaging, overhead and margin gives a realistic ex-works price to compare with quotes.
How do I find unit costs for each part?
Use supplier quotes where you have them, catalogue prices for standard items such as fasteners and cables, and a should-cost estimate from material weight and machine time for custom parts.
What labour rate should I use for assembly?
Use the fully loaded cost per hour, including wages, benefits and supervision. As a rough guide, assembly labour costs less in India and Vietnam than in coastal China, but productivity and quality vary by factory, so ask for the rate behind the quote.
Why focus on the top three cost drivers?
In most products a few parts make up most of the cost. Improving the top three through redesign, a second quote or a better process usually saves more than trimming every small part.
Tools that work well together.
Turn this result into a free teardown.
Send one drawing, photo or quote. A principal returns how it is made, where it is made best and a realistic target price, free, in 48 hours.