Material Costs: Yarn
Yarn is the biggest expense in any project. The cost varies enormously depending on fiber content, brand, and where you shop.
Budget acrylic (like Red Heart Super Saver) runs $4–7 per skein, with each skein containing about 360 yards of worsted weight. A throw blanket needs about 8 skeins, putting material cost at $32–56.
Mid-range yarn (like Caron Simply Soft or Paintbox) runs $5–10 per skein. Premium yarn (Malabrigo, Cascade) runs $10–20 per skein. Luxury fibers (cashmere, qiviut) can be $30–80+ per skein.
The same throw blanket in premium wool might cost $120–200 in materials alone.
Hidden Costs: Notions and Extras
Beyond yarn, projects often need notions: buttons ($3–10), zippers ($5–15), stitch markers ($5–12 for a set), tapestry needles ($3–6), project bags ($10–30), and pattern costs ($0–12 for individual patterns, $50–100+ for books).
If you're a new crafter, add one-time startup costs: needles or hooks ($8–50 depending on sets vs. singles), blocking mats ($20–40), scissors, measuring tape. These costs amortize across projects but are real for your first project.
Our Project Cost Calculator lets you add all notions and extras to get a true total cost.
The Time Factor
Handmade items take significant time. A throw blanket in worsted weight takes roughly 40–70 hours. A sweater takes 50–100+ hours. Even a simple hat takes 5–10 hours.
If you value your time at minimum wage ($15/hour in many states), that throw blanket represents $600–1,050 of labor. Even at a modest $5/hour, it's $200–350 of time.
This is why handmade items sold at fair prices seem expensive to non-crafters. A $200 handmade blanket, when you factor in $50 of materials and 50 hours of labor, works out to $3/hour for the maker.
Our calculator shows your effective hourly rate at any selling price, helping you price fairly if you sell, or simply appreciate the true value of your handmade gifts.
So Is It Cheaper to Make or Buy?
For most items, buying mass-produced is cheaper in pure material + time terms. A comparable quality store-bought throw costs $30–80. Your handmade version costs $40–60 in materials plus 50 hours of time.
But this comparison misses the point. Handmade items are custom-sized, custom-colored, made from the exact fiber you chose, and carry emotional value that mass-produced items can't match.
Where handmade shines economically: luxury items (a cashmere scarf costs $200+ retail but $50–80 to make), custom sizes (baby blankets in specific dimensions), and gifts (the time invested IS the gift).
Where buying is clearly cheaper: basic socks, simple scarves, and anything you can find at discount retailers. The math only works for handmade when the item is premium quality or has emotional significance.