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SyteLine Cost Rollup Variance Calculator

After a cost roll, the standard changes and so does the value of everything on the shelf. Then every completed job lands either above or below the new standard. This calculator shows both effects in one place: the variance by cost element and the revaluation of on-hand stock.

Your numbers

Standard material per unit

From the rolled standard cost of the item.

Standard labor per unit

Standard overhead per unit

Fixed plus variable overhead absorbed per unit.

Actual material per unit

Actual labor per unit

Actual overhead per unit

Quantity completed

units

Prior standard cost per unit

Standard before the cost roll.

On-hand quantity at roll

units

Your results

Total job variance

$750

Total actual less total standard for the quantity completed.

Variance as percent of standard

4.8%

New standard cost per unit

$31

Actual cost per unit

$33

Material variance

$400

Positive means actual cost was above standard (unfavorable).

Labor variance

$350

Overhead variance

Inventory revaluation from roll

$1,080

Positive increases inventory value, negative decreases it.

Simplified per-unit comparison for planning and training. Your SyteLine variance accounts, overhead absorption and posting rules may split variances differently, so reconcile to your ledger before booking anything.

Save results:

Total job variance by quantity completed

Sweeps Quantity completed from 0 to 2000, holding your other inputs fixed.

Variance explanations from your data

Optional: see how job cost variances can be explained by item and element directly from your SyteLine data.

Optional. The tool and every export work without this. No spam.

How to use the calculator

Enter the rolled standard per unit for material, labor and overhead, then the actual cost per unit from a completed job. Set the quantity completed to scale the variance to a job total. To see what a cost roll did to inventory, enter the prior standard and the on-hand quantity at the time of the roll. The chart sweeps the quantity so you can see how a small unit variance becomes a large dollar variance on bigger runs.

The formulas behind it

Each element variance is actual per unit less standard per unit, multiplied by quantity. Total variance is the sum of the three. A positive result is unfavorable, meaning you spent more than standard. Percent variance divides the unit difference by the new standard cost. Revaluation is the new standard less the prior standard, times the quantity on hand at the roll, which is the gain or loss recognized when inventory is restated. This is a simplified view: price and usage splits, scrap and overhead rate variances need more detail than one per-unit figure.

Material variance = (actual material - standard material) x quantity.
Revaluation = (new standard - prior standard) x on hand.
Positive variance is unfavorable.

Reading results and common mistakes

A persistent material variance usually points at stale purchase prices in the standard or at scrap and yield assumptions. A labor variance suggests routing times that no longer match the floor. Overhead variances are often an absorption issue rather than a spending issue. The most common mistake is rolling costs without reviewing the revaluation first, which surprises finance at period end. Another is comparing one job to a standard that was rolled with outdated routings, which tells you the standard is wrong, not that the floor is.

Review revaluation before posting a new standard.
Update routings before the roll, not after.
Investigate variances by element, not only in total.

Frequently Asked Questions

What is a cost rollup in SyteLine?

A cost rollup calculates an item's standard cost by summing the cost of its components, operations and overhead through the bill of materials and routing. The result becomes the standard against which actual job costs and receipts are compared.

Is a positive variance good or bad?

In this calculator a positive variance means actual cost exceeded standard, which is unfavorable. Some reports use the opposite sign convention, so check the sign used in your own ledger accounts before comparing numbers.

Why does inventory value change after a cost roll?

Stock is valued at standard cost. When the roll changes the standard, the on-hand quantity is revalued at the new figure, and the difference is posted according to your accounting setup. Review it before committing the new standard.

Does this replace the SyteLine variance reports?

No. It is a quick what-if and training tool. Your system reports reflect your posting rules, overhead absorption and price versus usage splits. Use this to understand and sanity check numbers, then reconcile to the official reports.

Netray can pull completed job cost and standard cost data from SyteLine and produce a variance explanation by item, with the query shown so your cost team can verify it.

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