Rex says
Money math without the spreadsheet headache. Plug in your numbers and I'll show you exactly where the dollars land.
Try a scenario
Click to load — tweak from there.Inputs
Result
Labor cost per order
$0.66
Labor cost per line
$0.274
Orders shippable per day
3,600
Total daily pick labor cost
$2,371
Fully burdened hourly wage
$24.70
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How to use this
- 1Enter base hourly wage ($).
- 2Enter payroll burden (%).
- 3Enter lines picked per hour.
- 4Enter average lines per order.
- 5Enter number of pickers.
- 6Enter shift length (hours).
- 7Read your labor cost per order on the right — it updates as you type.
- 8Hit Share to keep the scenario or send it to someone.
About this calculator
Pick labor is usually the single largest cost line in a warehouse P&L, often 40-60% of total operating cost, yet many operations still price and staff off gut feel rather than a measured rate. This calculator converts a picker's lines-per-hour rate and fully burdened wage into a cost per line, cost per unit, and cost per order, then projects daily throughput and labor spend for a given headcount. Fully burdened wage should include payroll taxes, workers' comp, and benefits, typically adding 25-35% on top of base hourly pay, because quoting or budgeting off base wage alone understates true cost by a meaningful margin. Use this to price a 3PL fulfillment contract, evaluate whether a pick technology investment pays back, or simply know your real cost to serve per order.
Worked example
Using the values the calculator loads with:
Inputs
- Base hourly wage: 19 $
- Payroll burden: 30 %
- Lines picked per hour: 90
- Average lines per order: 2.4
- Number of pickers: 12
- Shift length: 8 hours
Results
- Labor cost per order: $0.66
- Labor cost per line: $0.274
- Orders shippable per day: 3,600
- Total daily pick labor cost: $2,371
- Fully burdened hourly wage: $24.70
What each field means
Inputs
- Base hourly wage ($)
- The base hourly wage used in the calculation, measured in $. Starts at 19 $ so you have a working example on load.
- Payroll burden (%)
- The payroll burden used in the calculation, measured in %. Starts at 30 % so you have a working example on load. Accepted range: 0–80 %.
- Lines picked per hour
- The lines picked per hour used in the calculation. Starts at 90 so you have a working example on load.
- Average lines per order
- The average lines per order used in the calculation. Starts at 2.4 so you have a working example on load.
- Number of pickers
- The number of pickers used in the calculation. Starts at 12 so you have a working example on load.
- Shift length (hours)
- The shift length used in the calculation, measured in hours. Starts at 8 hours so you have a working example on load. Accepted range: 1–16 hours.
Results
- Labor cost per order
- Returned as a money amount in US dollars and shown as the headline result. It recalculates instantly whenever you change an input, so you can compare scenarios without reloading.
- Labor cost per line
- Returned as a money amount in US dollars. It recalculates instantly whenever you change an input, so you can compare scenarios without reloading.
- Orders shippable per day
- Returned as a whole number. It recalculates instantly whenever you change an input, so you can compare scenarios without reloading.
- Total daily pick labor cost
- Returned as a money amount in US dollars. It recalculates instantly whenever you change an input, so you can compare scenarios without reloading.
- Fully burdened hourly wage
- Returned as a money amount in US dollars. It recalculates instantly whenever you change an input, so you can compare scenarios without reloading.
FAQ
What's a typical lines-per-hour benchmark?
Manual single-order picking in a case/each environment usually runs 60-100 lines per hour. Batch or wave picking with a cart can push 120-180 lines per hour, and pick-to-light or voice-directed systems in dense fast-mover zones can exceed 200. The right benchmark depends heavily on travel distance, SKU velocity slotting, and unit size, so compare against your own history before chasing an industry number.
Why include payroll burden instead of just base wage?
Base wage is what shows up on a pay stub, but the employer also pays FICA, unemployment insurance, workers' comp, and often health benefits and PTO accrual. That typically adds 25-35% on top of base pay in a warehouse setting. Pricing a fulfillment contract off base wage alone routinely underquotes true cost by 20% or more.
How does this feed into a 3PL fulfillment quote?
Labor cost per order is usually the biggest single input into a per-order pick-and-pack fee. Add packaging materials, a share of facility overhead, and a target margin on top of the labor cost per order calculated here to build a defensible per-order rate rather than copying a competitor's published price.
Does batch picking change this math?
Yes, materially. Batching multiple orders per pick tour raises effective lines per hour because travel time is shared across more lines, which directly lowers cost per line. Run this calculator with your batched lines-per-hour rate versus single-order rate to see the labor savings that justify a batch-picking or zone-picking redesign.
Accuracy and limitations
- Results are estimates before tax, fees, and inflation unless an input explicitly covers them.
- Rates are treated as fixed for the whole period — variable-rate products will drift from this projection.
- This is educational maths, not financial advice. Check anything contractual with the lender or your accountant.
Related tools
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How many trailers your dock can turn per shift, and whether you have enough doors.
3PL Pricing Quote Builder
Build a defensible storage + pick/pack + shipping markup quote.
Wave Picking Efficiency Calculator
Compare single-order picking against wave/batch picking travel savings.
Cite this calculator
Writing about this topic? Grab a citation — every link helps keep these tools free.
RevenueLab. (2026). Pick Rate Labor Cost Calculator. Retrieved from https://www.revenuelab.fyi/toolbox/pick-rate-labor-cost
<p>Source: <a href="https://www.revenuelab.fyi/toolbox/pick-rate-labor-cost" target="_blank" rel="noopener">Pick Rate Labor Cost Calculator — RevenueLab</a> (2026).</p>
Source: [Pick Rate Labor Cost Calculator — RevenueLab](https://www.revenuelab.fyi/toolbox/pick-rate-labor-cost) (2026).