Breaking Down the Cost of a Small CNC Project

I quote small CNC machining projects every single day. And I hear the same thing: "I don't understand why it costs this much for such a small part."

I get it. The numbers can seem surprising if you've never dealt with machining before. Let me walk you through exactly what you're paying for.

At AOOM Technology, we price projects so you see every line item. No hidden charges.

The Three Cost Buckets

Every CNC project has three cost components. You need to understand all three.

1. Setup and Programming. This is a fixed cost. It applies whether you order 1 part or 100.

2. Material. The raw stock. You pay what we pay, plus a small handling fee.

3. Machine Time. The actual cutting time multiplied by the shop rate.

Secondary operations (deburring, heat treat, plating) are separate. I'll cover those below.

Setup Cost in Detail

Setup includes CAM programming, tool path verification, fixturing setup, and first-article inspection.

For a simple turned part: $100 to $200.
For a milled part with one setup: $200 to $350.
For a complex part with multiple setups: $350 to $800.

I tell clients: "Think of setup as the cost of getting the machine ready. It's the same price for one part or fifty. That's why per-part cost drops with quantity."

Material Cost Examples

We buy stock from major suppliers. Here are some typical material costs:

• 6061 aluminum, 1" round bar, 12" length: about $8
• 304 stainless, 1.5" round bar, 12" length: about $22
• 12L14 steel, 1" round bar, 12" length: about $10
• PEEK plastic, 1" round bar, 12" length: about $45

We charge material at cost plus 15%. No markup on minimum order quantities from suppliers. We pass through the exact price we paid.

Machine Time: What the Rates Include

A CNC machine shop rate includes: the machine, the tooling, the coolant, the electricity, the machinist's time, the post-process inspection, and overhead for the building.

Typical rates we see in the industry:

3-axis mill: $75-$95/hour
CNC lathe: $70-$90/hour
5-axis mill: $120-$150/hour

If your part takes 15 minutes of machine time at $85/hour, that's $21.25 per part for machine time. Add that to the per-part allocation of setup, and you have your baseline.

Secondary Operations Add Cost

Some operations happen after machining:

• Deburring: $15-$35 per batch, included in many quotes
• Anodizing (Type II): $50-$150 minimum, then per-part
• Passivation for stainless: $50-$100 minimum
• Heat treat: $75-$200 depending on spec
• EDM (wire or sinker): quotes vary widely

Real Projects, Real Numbers

Example 1: Sensor Bracket
Material: 6061 aluminum. Quantity: 10. Simple 3-axis milling, one setup.

Setup: $250
Material: $15
Machine time (2.5 hours at $85/hr): $212.50
Inspection and deburr: $40
Total: $517.50. Per part: $51.75.

Example 2: Stainless Steel Bushing
Material: 304 stainless. Quantity: 5. CNC lathe work.

Setup: $180
Material: $18
Machine time (0.8 hours at $80/hr): $64
Inspection: $25
Total: $287. Per part: $57.40.

How to Get the Best Price

Send us a clean CAD file (STEP or IGES preferred). Include tolerances for critical features. Tell us which surfaces matter for appearance.

Don't over-spec. If a hole doesn't need +/- 0.01 mm, call out +/- 0.1 mm. We'll make it to the tighter tolerance anyway if it naturally falls there. But specifying unnecessarily tight tolerances adds to the quote.

Send your CAD files to chen@aoomtech.com for a quote within 24 hours.