# How to Quote CNC Machined Parts: A Step by Step Method > Source: https://netray.co/resources/how-to-quote-cnc-machined-parts > Publisher: Netray (netray.co), AI and integration engineering for ERP and manufacturing systems. > Section: Knowledge Base ## Short answer How to quote CNC machined parts step by step: material, setup, cycle time, outside processing, quantity breaks and margin, plus common costly mistakes. ## Category ai-automation ## Content **Intro:** To quote a CNC machined part, break the drawing into material, setup, cycle time per operation, secondary and outside operations, inspection, and tooling, price each at a verified shop rate, then spread setup across the quantity and add margin. The hard parts are cycle time and risk: first-time parts hide surprises in tolerances, workholding and finishes. A repeatable method matters more than a clever formula, because the same part quoted by two estimators should land within a few percent of each other. **Sections:** #### Step 1: Read the Drawing for Cost Drivers **Body:** Before touching a number, mark up the print for what drives cost. Look at material callout and form (6061-T6 plate versus 17-4PH bar), tightest tolerances and where they sit, surface finish callouts, thread and GD&T features, and notes such as deburr all edges, anodize per MIL-A-8625, or CoC required. Note anything that needs a fixture or a second setup, and any feature that forces a small tool or slow feed. Many quote errors come from missing a flag note on sheet two rather than a bad time estimate. **Bullets:** - Material spec and stock form, including certs required - Tolerances tighter than the machine's comfortable range - Finish, coating, heat treat and plating notes - Inspection requirements such as FAI or CMM reports #### Step 2: Build Material and Outside Processing **Body:** Material cost is stock length times price per unit, plus kerf, facing allowance and a scrap factor, with a minimum buy if the mill sells in full bars or sheets. Round up for realistic stock sizes, not the theoretical block. Outside processing needs a real vendor quote or a current price list with the vendor's minimum charge and turnaround, because a 25 piece lot priced at per-piece plating can double when the minimum lot charge applies. Add shipping both ways and your handling markup. #### Step 3: Estimate Setup and Cycle Time **Body:** Estimate each operation separately: setup minutes, then cycle time per piece including tool changes, probing, and load and unload. For repeat parts, start from actual hours on the last two runs rather than a fresh guess. For new parts, use a similar part you have run, scale for size and feature count, and add a first-article allowance for proving out the program. Keep setup separate from run time so quantity breaks work: setup divided by 10 pieces and by 200 pieces produces very different unit prices. #### Step 4: Apply Shop Rates, Overhead and Margin **Body:** Multiply hours by a rate for each machine, not one blended shop rate, since a 5-axis mill and a manual lathe do not cost the same to run. Rates should come from your actual overhead divided by realistic productive hours, not 2,000 hours per machine. Then add inspection, packaging and freight, and a margin that reflects risk: a proven repeat part earns less markup than an unproven part with a 0.0005 inch bore. Quote at least three quantities so the buyer sees the price break. #### Step 5: Close the Loop With Actuals **Body:** The quote is only as good as the feedback behind it. After each job, compare estimated to actual hours by operation and feed the corrections back into your standard times. Without this step estimators keep repeating the same optimistic setup time for years. If your ERP tracks labor by operation, the data already exists; the work is reviewing it monthly. Where it is not worth the effort: one-off prototype jobs where nothing will repeat. Spend the review time on parts that come back. **Cta:** Netray can build a private assistant that reads past jobs from your ERP and shows estimated versus actual hours when an estimator starts a new quote. Bring one family of parts and we will show it on your own history. **Faq:** #### How do I estimate cycle time for a new CNC part? **Answer:** Find the closest part you have already run, scale for size and number of features, then add time for tool changes and probing. Use the actual hours from that job, not its quoted hours. For truly new geometry, ask the programmer for a rough toolpath estimate, and add an allowance for proving out the first piece. #### What markup should a machine shop add to a quote? **Answer:** There is no universal figure. Margin should reflect risk, competition and capacity: repeat proven parts earn less, first-time or tight tolerance parts earn more, and busy weeks justify higher pricing. Review your actual margin by job in your ERP rather than copying an industry average, which varies widely by niche. #### Should I quote setup separately from run time? **Answer:** Yes. Setup is a fixed cost per run and cycle time is per piece. Keeping them separate lets you show quantity breaks accurately and protects margin on small lots. It also makes estimated versus actual comparison meaningful, because setup overruns and cycle time overruns have different causes. ## Related Slugs - machine-shop-quoting-software - job-shop-erp-comparison-jobboss-e2-proshop-global-shop - machine-shop-scheduling-software-cnc-job-shop - reduce-quote-turnaround-time-machine-shop ## Search terms how to quote cnc machined parts, how to quote machining jobs, cnc part quoting, machine shop estimating, cnc cycle time estimate, how to price machined parts --- Talk to an engineer: https://netray.co/contact?intent=erp_ai | Machine catalog: https://netray.co/agent/catalog.json