Make-versus-Buy Calculator

Compare an in-house batch with a supplier quote, including setup, freight, handling, and avoidable overhead.

Shared shop rates

Save rates once and apply them when needed. Labor is cost per productive person-hour; overhead is separate. Values are stored only in this browser.

Your worksheet

Example inputs. Replace them with your shop’s numbers.

Results

If the model has no positive crossover, the results show an em dash. A positive fractional crossover lies between whole-unit batch sizes.

How this is calculated

  • Make cost = setup + quantity × (material + consumables + production hours × [labor + avoidable overhead]).
  • Buy cost = freight + quantity × (supplier unit price + receiving hours × labor rate).
  • Crossover quantity = (setup − freight) ÷ (supplier unit price + receiving labor per unit − make variable cost per unit). A positive crossover is a cost-equality point; it is not always a minimum economic batch.

All money inputs use USD. Calculations retain full precision; displayed amounts are rounded. Drafts save on this device when browser storage is available. Export your worksheet to keep a separate copy.