Welded fabrication cost: measured in weld length, not in pieces
Costing a steel fabrication across all ten categories. Two assemblies of the same weight can differ enormously in cost, because what drives this trade is weld length and arc-on time, not piece count.
Every other trade here has a natural per-piece cycle. Welded fabrication does not: two assemblies of identical weight can differ several-fold in labor if one has far more weld on it.
So the unit of measure is **weld length**, and nearly every cost line follows it.
Where the weld length comes from
- The weld schedule on the fabrication drawing — most reliable, and if you have it, always use it.
- Measured on a finished assembly — use when the drawing does not schedule welds.
- Estimated as joint count times average length — last resort, and record that it is an estimate.
The ten categories
1. Material — the steel
Plate, section and tube, taken as **weight issued to the job**, not the weight of the finished assembly. The drop from cutting to size does not disappear from the invoice.
2. Material — welding consumables
The line that belongs to this trade alone, and it scales with weld length and joint cross-section, not with steel weight:
| Consumable | Measured by | Why it gets missed |
|---|---|---|
| Electrode or wire | Weight consumed over total weld length | Bought by the spool or the carton, hard to attribute to one job |
| Shielding gas | Consumption during arc-on time | Bought by the cylinder, and cylinders serve many jobs |
| Tips, nozzles, electrodes | Replacements divided by parts between changes | Cheap individually, so treated as shop supplies |
What the system cannot know is **consumption**, which depends on your flow setting, joint type and shop habits. That is a number you measure: total consumed over a period divided by total weld length in the same period gives a rate per unit length, which you then apply to this job. Not exact for every joint type, but it is measured rather than guessed.
3. Machine time
Stick, MIG, TIG, spot, laser and robot welding all carry different rates, and the spread is wide.
The trade-specific trap: **machine time is not the same as the welder's shift**. Arc-on time is a fraction of the day — the rest is fit-up, repositioning, slag removal and inspection. Cost the full shift as machine time and your hourly rate is diluted into something that cannot be compared with anyone.
Use arc-on time if you can measure it, and put the rest in labor. If you cannot separate them, combine and say so.
4. Labor — four blocks that do not substitute
- Cutting and edge preparation.
- Fit-up and tacking — often longer than the welding itself, and it determines the accuracy of everything after.
- Welding — the only block that tracks weld length directly.
- Post-weld cleaning — slag, spatter, grinding.
5. Tooling
Cutting discs, grinding wheels, wire brushes, drills, divided by parts between changes. Fixtures built for one assembly are non-recurring — see the machinery guide, the arithmetic is identical.
6. Scrap
Fabrications are rarely scrapped outright; they are cut apart and rewelded. So most of the loss in this trade lands in rework rather than scrap. If scrap really is zero, enter zero rather than leaving it blank.
7. Rework — the heaviest line here
Two causes that must not share a line, because they lead to opposite fixes:
- Weld defects — gouge out, clean, reweld, re-inspect. Costs consumables as well as labor.
- Dimensional error from heat distortion — straighten, or cut apart and reweld in position. This has its own guide.
8. Outside processing
Blasting, hot dip galvanizing, painting, and non-destructive testing if you subcontract it. Include transport both ways — fabrications are heavy and the freight is not small.
9. Packing and freight
Heavy and awkward: the truck runs out of **payload** before it runs out of space, the opposite of furniture. Cost a load and divide by the pieces on it, and record the distance assumed.
10. Shop overhead
Power is unusually large in this trade. If it is already inside the welding machine rate, do not charge it again here — that is the most common double count in welded fabrication.
Three checks
- Machine time is arc-on time, not shift length — otherwise the rate cannot be compared with anyone.
- Consumables and gas are entered rather than left blank because they are bought in bulk.
- Power appears exactly once: in the machine rate or in overhead, not both.
Related guides
- Weld distortion: a cost that appears on no line of the sheet
Heat moves steel, and the money spent straightening it is scattered across four categories where nobody can see it. How to gather it into one number, and why fixturing beats straightening once volume is involved.
- Sheet metal fabrication cost: every process measured in its own unit
Costing a laser-cut and formed part across all ten categories. The distinctive part: cutting is measured in path length, punching in hits, bending in bends — averaging them hides the real driver.
- Is the saving real? Bottlenecks, and the three ways a number becomes money
Why speeding up a machine usually saves nothing, when a number on a costing sheet turns into cash, and how to tell real cash savings apart from cost avoidance before anyone in finance asks.