Stamping Piece Price at Volume Calculator with Die Amortization
A stamped part price is the sum of material, press time, setup and tooling recovery, and the tooling part is what swings with volume. This calculator builds the piece price line by line and charts how it falls as annual volume grows.
Your numbers
Program life over which you recover the die. Use the customer commitment, not the die life.
Sharpening, replacement punches and repair.
Die set, first-piece approval and teardown, including labor and press time.
Allows for coil changes, jams and minor stops.
Machine, labor and burden for the press and operator.
From the strip layout, after scrap credit.
Tumbling, plating allowance, packaging, inspection.
Your results
A planning model. It excludes freight, tooling financing cost, cost of capital and customer-specific terms. Tooling is often invoiced separately; set die cost to zero to price the part only.
Piece price vs annual volume
Sweeps Annual volume from 5000 to 500000, holding your other inputs fixed.
Make quotes consistent with ERP standard cost
Optional: a review of how quote assumptions compare with routing, work center rate and material cost data in your ERP.
Optional. The tool and every export work without this. No spam.
How to use it
Start with the die quote and the commitment period the customer will sign for. Enter strokes per minute from the die designer, parts per stroke, and a realistic efficiency; 80 percent is a common planning figure for progressive dies. Add the loaded press rate, net material cost from the strip layout, and any secondary operations. The chart sweeps annual volume so you can see the break between a low-volume price and a high-volume price, which is what you need to build a price-break table for the RFQ response.
Formulas used
Good parts per hour equals strokes per minute times 60 times parts per stroke times efficiency. Press cost per part equals hourly rate divided by good parts per hour. Die amortization per part equals die cost divided by annual volume times years. Maintenance per part equals die cost times the annual maintenance percent divided by annual volume. Setup per part equals setup cost times the number of runs divided by volume. Price equals cost divided by one minus margin.
- Margin is a share of price, not a markup on cost.
- Scrap is applied to material only; add rework cost in secondary operations.
- Amortization uses the commitment period, not the physical die life.
Reading the result
At low volume the amortization and setup lines dominate, so the price is highly sensitive to the program quantity; at high volume press time and material take over. If the customer will not commit to volume, quote the die separately or add a tooling surcharge so an under-run does not leave the tool unrecovered. Compare the output with your ERP standard cost for similar parts. Large gaps usually come from efficiency assumptions, not the arithmetic.
Frequently Asked Questions
How do I amortize a progressive die?
Divide the die cost by total program pieces, which is annual volume times the committed years. Add maintenance as a yearly percent of die cost. Use the contracted commitment, not the die's physical life, or you will under-recover on short programs.
What press efficiency should I use?
Eighty percent is a typical planning figure for a progressive die on a stable job. New or complex dies, thin coil, or poor feed can run at 60 to 70 percent. Use your historic OEE data from the shop floor system if you have it.
Why is margin divided instead of multiplied?
A 20 percent gross margin means profit is 20 percent of selling price. Dividing cost by 0.80 achieves that. Multiplying cost by 1.20 gives a 16.7 percent margin, a common source of under-pricing.
Should tooling be in the piece price?
It depends on the contract. Many customers pay for the die up front or in installments; in that case set die cost to zero here. Where the supplier carries the tool, amortization in the piece price should be paired with a minimum volume or termination clause.
If you quote from spreadsheets today, we can connect this logic to ERP routing, work center rates and material costs so the same model drives quotes and standards. Ask for a walkthrough.
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Guides
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