CADD Outsourcing Services – Faster & Cheaper Than Doing It In-House
06 November, 2024
October 2, 2024 at 11:37 pm
Are you trying to find out how much CNC machining costs in 2024? If yes, you’re probably used to getting vague, or hard to decipher answers. Usually that’s because to price a project, the specifics of the project need to be known in advance. Not getting the answer you need can be frustrating though.
Maybe you’ve searched a lot, but you’re only finding wide estimate ranges and no clear explanation of all the various factors that go into reaching those final prices. CNC machining costs are definitely not a one-size-fits-all kind of thing. Costs depend on lots of different factors — things like the material we use to create your product, the complexity of the part you need, even how efficient the set up of the production shop you’re working with is.
In this article we’re going to try and demystify the process and bring some mental clarity to CNC pricing so you’ll know exactly what to expect and where your money is going in the manufacturing process.
One of the main variables that will effect your final price is this: what material are you using? Routing can effectively be used on many different materials. But working in plywood for instance comes with a wildly different price tag to using stainless steel or titanium. This is where material choice begins to impact your final CNC machining project cost.
A very commonly used material in CNC machining is aluminum. Aluminum is great – it’s affordable, doesn’t weigh much, is easy to machine and finish, and has other benefits which makes it a go-to for many applications. Prices for aluminum range from $10 to $50 per kilogram, depending on the alloy (1). Steel is another great option, especially for durability. It’s is more expensive and harder to machine though. As of writing, it costs between around $800 per metric ton (2). You could also go for something like titanium—which is very durable but much much more expensive, and can cost anywhere from $100 to $200 per kilogram.
As an example, for a basic 2 kg aluminum part, you’re potentially looking at a material cost of around $20 to $100 before machining even begins. For heavier or more complex parts that require tougher materials, those costs can climb quickly, so if you’re a smaller hobbiest, make it a business expense if you can!
Once you’ve decided on the material you want to use, you now have to think about machine setup and programming, which is often forgotten when thinking about the price of projects. The more detailed and complex a part, the longer it is going to take to get the machine set up and running properly. CNC machines don’t operate themselves (we wish they would!); you have to configure, program, and test them for each new job to make sure you’re milling is not going to go awry.
If your part is basic, set up costs could range anywhere from $50 to $150, this would be in the case that your design only needs simple or minimal programming. For complicated parts, that have for example, multiple sides, intricate cuts or overhangs etc, your set up fees can be much higher, think in the range of $500 or even $1,000. Each new or additional feature / detail adds complexity to your part, which increases turning or milling set up time and the final cost.
For example, say your project needs a batch of 10 parts. If the product is simple, and the setup takes just two hours, you’re looking at around $100 to $300 before the machine even starts cutting. You also have to factor in the machining cost. But.. If your project needs 100 or 1000 parts, the set up cost and time will remain the same.
Once your material is accounted for, most of your CNC machining bill will come down to a single factor: machine time. This is the number of hours the machine spends cutting your part. Rates can vary depending on the machine’s capability and precision. Also, keep in mind that some parts take a very long time to process!
Hourly rates for 3-axis CNC machines (ones that do basic, straight cuts for example), can range from $50 to $100 per hour. But if you’re using a 5-axis machine (3), which will let you cut complex parts that have multiple angles, expect to pay closer to $150 per hour. A basic rule to keep in mind is – the more complex your part, the more expensive the machine you’ll need and the more expensive your project will be overall.
It breaks down kind of like this: You have a part that takes 4 hours to machine. With a 3-axis machine, that would cost anywhere from $200 to $400. If you you have a part with multiple angles or planes, you’ll need the part cut on a 5-axis machine, so the machining cost is likely going to be closer to $600 to $800. If you need a rush job completed that’s more expensive again because other projects will need to be bumped. Expect in the range of a 20% to 50% premium on top of those rates.
Materials and machining are not the only thing in your project that contribute to the cost. You’ll need a professional to operate the CNC machine, swap out tools, inspect parts for damage or do quality control and final finishing. You’re paying for years and years of one of our team members’ expertise and experience, so even if this cost seems a bit high, you’re actually saving money because our team will pick up issues others might not which will cut your costs overall, meaning you will save money in the long run compared to trying to cheap out on the labor costs. Costs for an experienced CNC operator can range from $20 to $50 per hour in the US, depending on their skill level and experience (4).
So let’s say your job takes about four hours of milling time, plus an extra hour for setup and tool changes. You can be looking at $150 to $250 in labor alone. The more complex your part, the more hands-on the operator will need to be, especially for retooling or part inspection or other finishing.
Labor cost is where it can really make sense to have your parts created offshore. We have both onshore and offshore facilities we use for manufacturing for our clients, enabling us to cater to different budgets.
Every part we produce for you requires specific tools as part of the machines doing the milling / turning / drilling processes. These tools wear down over time. The more material that needs processing and the more complex your part, the harder it is on our tool bits and the cost of tool wear can really add up. For example, a standard end mill or drill might only add $20 to $100 (5) to your job. This isn’t too bad for softer materials like aluminum, but for harder materials like titanium, the tools wear out much more quickly, which leads to higher tool replacement costs.This can easily add an extra $200 to $500 to your project.
Maybe by now your head is spinning with figures. So lets put this all into a real-world context so it’s easy to understand. Let’s say you want to prototype a fairly simple custom aluminum part. The part weighs around 2 kg, and you need 10 parts created. Of course every job we need to price individually (you can request a quote for that), but here’s how the costs might break down:
Total Cost for One Part: $460
Total Cost for 10 Parts: $3500 ($350 per part)
Not bad for a custom, precision-made aluminum part. And this is just a small batch; costs can drop further per part when working with larger production runs, because costs like tooling and machine time can be spread further amongst the individual units.
As you can see, CNC machining is not necessarily cheap. But what if you want to get your costs down and shave some money off these figures. Here are some of the best strategies for lowering CNC machining costs, but without compromising on the quality of your end product:
Let’s see how this could apply to creating a smaller part in a large batch quantity. Here’s what the costs would look like:
Total Cost for 1,000 Parts: $9050
Per-part cost: $9.05 per part
As you can see compared to the small batch example above, price size and quantity can significantly effect the total cost both overall and by part. Larger orders can save you a serious amount of money, even when the total price seems high. In larger batch runs, the setup costs, machine time and tooling costs get distributed over a much larger number of parts, and that has the effect of greatly reducing the price per part.
Here’s something many people forget: post-machining processing can really add to your final bill. Sometimes, even though your parts might be cut and shaped perfectly, they may have burs that need removing, need polishing, or have to have a special finish like anodizing or powder coating applied to give them that final touch. These extra finishing touches can add anywhere from $50 to $500 or more to your project, depending on the complexity of your parts and the finish quality or type of service your require.
For example, deburring might seem like something minor, just removing any sharp edges or extra material the cutting process has left, but it can add another $50 to $150. Adding an anodized finish? That could cost you an additional $100 to $500 if you want a protective coating on your aluminum parts.
If you need powder coating or custom painting, that can cost even more. These may be necessary extra steps, especially if you need a professional finish for products you will be selling direct-to-consumer, so it’s important to factor them into your overall cost so that you know what your margin on products will be.
This has all been a bit academic at the moment, so lets look at some real-world applications / scenarios to see how these costs might be applied. Maybe you’re a a hobbyist. Maybe you’re running a business. The great thing about CNC machining is that it can perfectly adapt to different cost structures depending on your needs.
Maybe you’ve got a killer idea for a product or part, and you want to see it come to life. As a hobbyist, you will likely use CNC machining for prototyping small parts, or things like making custom components for personal projects. It could even be used for art pieces or for building out a precision-fitted van conversion. As a hobbyist, keeping things simple will save you money if you can. A simple / straightforward part made from aluminum, plastic or wood can cost as little as $100 to $500, depending on the size, complexity, and material choice.
Startups or small businesses looking to produce a limited run of products can utilize CNC machining as it is a very flexible and cost-effective solution to other types of manufacturing that require mold making or have a high cost per unit like at scale like 3D printing. This lets you avoid the large upfront costs of injection molding, but to still get high-quality, precise parts for your projects or to sell. For smaller production runs of say, 100 to 1,000 units, CNC machining is a great solution. It’s affordable and scalable.
If you need 1,000 to 10,000 units of a part created, CNC machining can be quite cost-efficient for making precise, reliable components. That could be parts for the aerospace, automotive, or medical industries, or other large scale production needs. CNC machines are excellent at producing high-quality parts in large quantities, while letting you take advantage of economies of scale.
As a good example, imagine a medical device company needs to get 5,000 precision titanium parts created. The initial setup might be $1,000+, but after that, the per-part cost could drop to as little as $5 to $10 or even lower, depending on the complexity and size of the part in question.
So we’ve looked at CNC machining costs in a number of different scenarios. Maybe now you’re wondering if CNC machining is the best manufacturing option to use for your project. Here we’ll compare it to some other popular manufacturing methods to help make the decision easier. Of course, if you’re not sure, give us a call on and we’ll walk you through the best option for your project.
Depending on your project, if you need to do a mass production run—like 10,000+ units—injection molding can win out over CNC milling in terms of the price you pay per part. There’s a catch though – the upfront costs for injection molding are very high compared to CNCing. For example, mold making can cost anywhere from $500 to $50,000, and that’s before you even start producing parts. The benefit though is that once you have a mold made parts are very precise and molds last a long time across many production runs.
CNC machining compared to injection molding has barely any up front cost, just the initial setup and programming. That makes it a better choice for one-off smaller to medium-sized production runs. Once you get into high-volume / mass production, injection molding becomes more attractive because the cost of the mold is absorbed across many more parts.
3D printing is an attractive alternative to CNC machining, especially for very short run prototyping and for building parts with complex geometries where it would be hard or impossible to machine the part successfully. That said, 3D printing still has some limitations, eg. it doesn’t do large production runs well as 3D printing at scale can be expensive. If you have to create anything more than a moderate number of parts and your project isn’t too complicated, CNC machining or injection molding are going to be a much more cost-effective approach. 3D printing materials also often aren’t as strong or durable as the metals used in CNC turning like aluminum, steel, titanium so they’re not suitable for all purposes.
3D printed parts can cost anywhere from $2 to $100 or more for regular printing, or can be much more expensive when 3D printing in metal – usually we wouldn’t recommend 3d printing in metal though as CNC machining is almost always a better option. 3D printing is at its most useful for one-off or small batch prototypes or parts that don’t need to withstand significant stress, especially if they will be fine made in a weaker material. For manufacturing parts that needs to be durable, precise, or when working in volume, CNC machining is the better option in our opinion based on many years of experience.
Looking ahead, we’re pretty excited about the future of CNC machining. More and more automation and AI are becoming embedded in CNC operations, which will likely cause costs to decrease when it comes to labor and efficient use of materials. We predict that AI-powered predictive maintenance of CNC machines, combined with smart factory technologies will help to reduce machine downtime, which will also mean faster production and lower costs.
Something that may cause costs to rise however are material prices. With continuing inflation and the risk of supply chain disruptions, along with fluctuating costs of raw materials (eg. aluminum and steel), the price of materials may increase, either temporarily or on a more long-term basis. So if you’re planning a big manufacturing project, it could be good to start as soon as possible and to try and lock in material prices as quickly as you can.
We want the main takeaway from this article to be that manufacturing is all about balancing costs and trying to manufacture in a way that is cost-efficient and keeps you profitable. CNC machining or milling may or may not be the best approach for that depending on your unique project needs.
Make sure you keep in mind your specific project parameters like: the size of your project (eg. small batch, one-off prototype or mass production), complexity of your parts, material you need the final product in, how durable it needs to be etc. CNC machining could be a great option for you, but for very large production runs for instance, other methods like injection molding may offer better economies of scale.
If you’re unsure on the best way to manufacture your product, feel free to pick our brains and lean on our years of expert experience in CNC machining and manufacturing to guide the way. And if you’d like to get started with a project get in touch today on 1-888-202-2052 or fill out our quote form and we’ll get back to you with a very competitive price and any advice you need!