How to Calculate Manufacturing Costs for Handmade Products

I had a really good question from a viewer asking how does one calculate the cost to produce one of their bags. It's actually a lot simpler than you'd think! The trick is to make sure you break down your material costs as it relates to the individual bag.

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[ZenosonTwitch]

Fierce, as an accountant, I can say that that is the perfect way to calculate a sale price. Cost x 3 is the way I was taught to do it. 👍👍

[blw]

I am seriously so glad you’re starting to upload videos more frequently!! I absolutely enjoy watching all your videos!!! ❤

[jeanhawkins]

I Love learning from you so much! Your humor keeps me laughing and light hearted...thank you!

[Alien_cancerian]

I am a newish small buisness that us dissabled and it is very hard for me to calculate appropriatly. This really cut it down in easy steps! Thank you so much!

[bernadettesteart]

This has helped me so much as I never knew how to work out how much to charge. This was awesome thank you!

[priscillajones]

This was very helpful especially with excel. So enjoy watching your humorous to serious videos 😇

[ritlua]

Ahhhh appreciate you diving into this!

[StephanieMayfieldDIG]

Excellent video! I have issues keeping track of fabric costs so I generally average (ie all polar fleece is now this average price vs pattern A was this and pattern B was this and pattern C was on sale....). I also think I need to charge a mark up for specialized skills. Not many people know to properly make a mushing harness for instance.

[valechet]

Love the video. Thanks for sharing...for the lesson in a fun way. Usually I don´t leave comments, but had the feeling to do it this time.

[barbaran]

So glad you have done this video. I am new to bag making and have been trying to figure out exactly how much to charge per bag and I have done exactly what you have done. Happy to see that you do the same. Thanks 😊

[PeggyH]

Thank you for your informative video it made my calculations much easier as a beginner . Appreciate your knowledge sharing .

[evamore]

Great advice & funny too! 😁 Thank you (no ads skipped!)

[merralindagoddard]

I haven’t started selling bags because I enjoy gifting them but this video is informative. Thanks

[lniebla]

I would love to see how you package your bags. The box looks cute too.

[juliecangialosi]

Thank you for this, you are so talented and thoughtful

[lauraneill]

I sooo appreciate your posts…
Thank you

[bushy]

Sorry, I don’t understand why 1/3 of $1.5 for your zipper tape coming in at $1 instead of $.50. Is it just rounding up to the closest who number for the row?

[SewFun]

Where do you factor in, if at all, costs of things like the thread, the electricity for running the machine, maintenance of said machine.? I'm not interested in nickel and diming something to death, but those costs are real costs as well and I'm curious if they are rolled into something.

[eandm_creations]

Thank you! I've been doing this in a notebook 🤦‍♀️ but I only multiply by 40% which never truly covers my labor or handling.

[JuliettePepperell]

Thank you! Very helpful. Apologies if someone already asked... I LOVE the strap and zipper on your bag. You mention it in the video but I can't catch the name you said. Do you mind sharing where you got them?