G
Guest
The time has come to set my prices in black and white.
I want to make sure I am doing this right because I hate math!
Is there an easier way of doing this..
I added up a particular item.
the raw materials came to $35.00 to make 15 jars 4ozs.
(includes container, lid, and sealing disk to it)
Labor: I am paying myself minimum wage. 8.25/hr
Overhead. I came to 715.00 a month.
this covers
gas,
electricity
shipping costs & boxes
insurance
phone
webhosting
internet fees etc...
It says to
Raw Materials + Wage + Overhead = Cost of product.
I divided the overhead by how many of these items i can make a month
I said 50 jars.
715.00 divided by 50 = 14.30
so
35.00 (raw materials) + wage (16.50) 2 hrs + 14.30 (overhead) =
65.80
65.80 divided by 15 jars (right? from the batch) = $4.38 each jar
cost me to make right...
x's 2 = 8.76 for wholesale (round off to 8.75)
x's 4 = 17.52 retail(round off to 17.50)
This is for a 4oz container of Shea Butter Foot Balm.. isnt this high..
the 8oz container would be higher because instead of 15 jars it makes only 7 jars... so it would be price close to 25.00... thats high..
Help please?
I want to make sure I am doing this right because I hate math!
Is there an easier way of doing this..
I added up a particular item.
the raw materials came to $35.00 to make 15 jars 4ozs.
(includes container, lid, and sealing disk to it)
Labor: I am paying myself minimum wage. 8.25/hr
Overhead. I came to 715.00 a month.
this covers
gas,
electricity
shipping costs & boxes
insurance
phone
webhosting
internet fees etc...
It says to
Raw Materials + Wage + Overhead = Cost of product.
I divided the overhead by how many of these items i can make a month
I said 50 jars.
715.00 divided by 50 = 14.30
so
35.00 (raw materials) + wage (16.50) 2 hrs + 14.30 (overhead) =
65.80
65.80 divided by 15 jars (right? from the batch) = $4.38 each jar
cost me to make right...
x's 2 = 8.76 for wholesale (round off to 8.75)
x's 4 = 17.52 retail(round off to 17.50)
This is for a 4oz container of Shea Butter Foot Balm.. isnt this high..
the 8oz container would be higher because instead of 15 jars it makes only 7 jars... so it would be price close to 25.00... thats high..
Help please?