You MUST have AT LEAST one machine for EACH machine family in order for calculations to work correctly. However, you may have many machines for one family. Enter all machines to be used for actual time in your costing.
From the Main Menu select Printing then Print Shop Setup then Machines. Your screen will look similar to this:
To update an existing machine, select the machine from the drop-down list. Click on the Edit button to continue with editing.
To add a new machine, Click on the Add button.
Whether adding or updating, your next screen will look similar to this:
Machine Name: Name of actual machine.
Serial Number: Serial number or other identification for the machine.
Machine Family: Select from drop-down list of selected families. Families are entered elsewhere in Setup.
Print Location: Print location ties in with inventory, in that inventory allows for multiple warehouses. Here is where you indicate which warehouse to pull inventory from for this printshop.
Default Machine this Family? If you check this box indicating that it is the default machine for this family, then the machine and labor hourly costs, markups and overheads will be pulled from this machine when doing estimates or entering jobs.
Machine Cost per Hour: This number can be arrived at by taking the purchase price of the machine, adding upkeep expenses over its life, then dividing the result by the number of hours life (hours life = years life*52*hours used per week).
Labor Cost per Hour: Average labor cost (if this machine requires more than one operator, then use the sum of the operators for this number).
Operator Time to Machine Time: If running a particular piece of equipment only requires 50% of the time of an operator (he might be able to run two machines at the same time), then enter 50% here. If this machine requires the full attention of the operator, then use 100%.
Overhead: Overhead is most easily derived from an income statement. It is the sum of all COSTS divided by the sum of DIRECT costs. This will give you a number like 1.35. This means that the overhead is 35%. DIRECT costs are actual production labor, costs of materials used in jobs, and other costs directly attributable to job production. All other costs are overhead costs that need to be distributed over direct costs to come up with total actual costs of doing work.
Markup: Markup is PROFIT. It is the percentage you should retain after all costs are met.
When you are done, click on the Save button to save your changes.
To Delete the machine, click on the Delete button.
To return to machine selection WITHOUT saving your changes, click on the Back button.