pricing formula basics. Do not forget that this is only part of the overall pricing scheme that should be implemented. This allows for sales and pricing scaling. Don't let it get you stuck as the only way to price or you may price yourself out of a competitive market.
When you buy something consider this. If that T-shirt you are wearing costs only $10, what did the person who made it make? If you get a handmade quilt as a gift, how much is that puppy worth retail? Shocking, but explains why quilters rarely sell their quilts and give only to those who would truly appreciate that a baby quilt costs about $600 to make!
One of the most difficult tasks of starting a jewelry business is determining how much to charge for your jewelry. Here is some detailed advice about what you need to consider along with a formula that you may find works for you.
Jewelry Pricing Formula Base price = (cost of materials + packaging) x 4 + your pro-rated hourly labor rate + 10% of that total for overhead costs. This is the lowest retail price. Adjust price up depending on the value your customer gives the piece and how replaceable the components are. The more rare a piece, the more it should be marked up. Wholesale is typically half of retail price.