Estimate a task’s labor from a production rate — how much one worker completes per hour. Divide the quantity by the crew’s combined rate for hours, then multiply by the wage for cost.
The example
2,000 sq ft, 3-worker crew, 50 sf/hr each.
| A | B | |
|---|---|---|
| 1 | Item | Value |
| 2 | Crew output/hr | 150 |
| 3 | 2000 ÷ 150 | → 13.3 hrs |
The formula
The formula:
How it works
How it works:
- A production rate is units one worker finishes per hour (e.g. 50 sq ft of drywall).
- Crew output = crew size × rate — the team’s combined hourly pace.
- Divide the quantity by crew output for the elapsed hours on the job.
- Total labor cost = elapsed hours × crew size × hourly wage (or sum individual wages).
Crew-hours vs elapsed hours. Elapsed hours is how long the job takes; crew-hours (or man-hours) is elapsed × crew size — the figure you cost and bill. A 13.3-hour job with a 3-person crew is 40 crew-hours of labor. Keep the two straight or your labor cost will be off by the crew size.
Try it: interactive demo
Quantity, crew size, rate per worker-hour, wage.
Variations
Crew-hours (man-hours)
Billed labor:
Labor cost
Crew-hours × wage:
Days on site
From an 8-hr day:
Pitfalls & errors
Elapsed vs crew-hours. Cost labor by crew-hours (elapsed × crew), not elapsed alone.
Realistic rates. Use production rates that include setup and breaks, not peak pace.
Round days up. A partial day still books a full crew.
Practice workbook
Frequently asked questions
How do I estimate labor hours from a crew in Excel?
What's the difference between elapsed and crew-hours?
How do I get labor cost?
Stop fighting formulas. Learn them in a day.
This recipe is one of hundreds of real-world formulas we teach. Our Excel Formulas & Functions class covers lookups, logic, text, and dynamic arrays hands-on — live in Dallas–Fort Worth, Houston, Austin, Oklahoma City, Denver, or online.
See the Formulas & Functions Class