Direct Labor Costs Calculator

Calculate Direct Labor Costs







Formula

To calculate the Direct Labor Costs (\(DLC\)):

\[ DLC = TH \times HR + T + B \]

Where:

Direct Labor Costs Definition

Direct labor costs are defined as the cost of labor that goes directly into the production or manufacturing of a good. These include the wages, taxes, and benefits paid to the employees that directly worked on the product over a time period.

Example Calculation 1

Let's assume the following values:

Using the formula:

\[ DLC = 100 \times 20 + 300 + 200 = 2500 \]

The Direct Labor Costs are $2500.

Example Calculation 2

Let's assume the following values:

Using the formula:

\[ DLC = 150 \times 25 + 400 + 300 = 4450 \]

The Direct Labor Costs are $4450.