Machine Shops — Average Employee Salary
The average employee in the machine shops industry earns $65,818 per year ($31.64/hour), according to Bureau of Labor Statistics QCEW data.
What Do Machine Shops Workers Earn?
At $65,818/year (equivalent to $31.64/hour for a full-time worker), machine shops wages are near the national average of ~$65,000.
The typical machine shops business employs 14 people. These are mid-sized operations where payroll is a significant but manageable expense.
Wages as a Percentage of Revenue
For the average machine shops business generating $3.2M/year with 14 employees at $65,818 each, total payroll represents roughly 28.4% of revenue. Labor costs are relatively low compared to revenue — other costs (materials, equipment, overhead) dominate.
What This Means for Business Owners
If you're starting or running a machine shopsbusiness, here's what the wage data means for your bottom line:
- Per-employee cost: Budget approximately $85,563/year per employee (salary + ~30% for benefits, taxes, and insurance).
- Typical team size: 14 employees = ~$921,452/year in base payroll.
- Hourly equivalent: $31.64/hour base — factor this into pricing and project estimates.
- Revenue needed: With average revenue of $3.2M/business, you need strong utilization rates to maintain healthy margins after payroll.
See how these wages compare to total revenue and profit margins.
View full Machine Shops revenue benchmarks →Frequently Asked Questions
- How much do machine shops employees make?
- The average machine shops employee earns $65,818 per year, which is equivalent to $31.64/hour for a full-time worker (2,080 hours/year). This is above the national average of approximately $65,000.
- How many people work in the machine shops industry?
- The machine shops industry employs 263,674 workers across 19,115 establishments in the United States. The average business in this industry has approximately 14 employees.
Source: Bureau of Labor Statistics, Quarterly Census of Employment and Wages (QCEW 2023).