Overview

This guide will help you set up machine hourly costs in a structured way by defining different cost heads like power, labour, and maintenance.
This helps you understand the total cost of running a machine.

Objective

Define machine-wise hourly cost by adding multiple cost factors.

This helps in:

• Accurate production costing

• Better visibility of machine expenses

• Improved pricing decisions

Navigation

Go to:
Masters → Costing

Step 1: Open Machine Hourly Rate

Click on Machine Hourly Rate tab

Here you will see:

• Machine list

• Resource (cost heads)

• Rate per hour

• Action (Edit/Delete)

Step 2: Add New Machine Hourly Rate

Click on + New

A popup will open.

Step 3: Fill Details

Machine

Select the machine
Example: Machine Shop CNC

Resource (Cost Heads)

Add cost heads like:

• Hourly Rate

• Power

• Overheads

• Labour

You can also click Add Another Resource to add more.

Rate / Hour

Enter cost per hour for each resource

Example:

• Hourly Rate → ₹500

• Power → ₹100

• Overheads → ₹50

• Labour → ₹50

Step 4: Save Configuration

Click Create

Now the system will:

• Store all cost factors under that machine

• Show a combined view in the costing table

• Use the total hourly cost in production calculations

Best Practice: Define Cost Factors Properly

Here’s the thing—most factories just put one number as machine rate.
That works, but you lose visibility.

Instead, break it down:

Conclusion

Instead of using a single flat rate, this setup helps you define machine cost in a structured way.

You get:

• Better cost clarity

• More accurate production costing

• Easier decision making