what SAE category would be woodworking

What SAE Category Would Be Wood Working?

Wondering what SAE category would be woodworking? This guide breaks it down step by step, covering codes like NAICS and SIC.

If you’ve ever asked yourself, “What SAE category does woodworking fall into?”—you’re not alone! 

I’ve built furniture and looked into industry classifications, and I had the same question. 

Whether you’re trying to find the right tax codes for your business, thinking about turning your hobby into a profession, or are just curious, this guide is here to help. 

Sorting out classifications like SAE, NAICS, and SIC can feel overwhelming, and woodworking is no exception. 

Let’s break it down together and figure out where woodworking fits—or if it even does. 

Spoiler: It’s a little tricky, but don’t worry—I’ve got your back. 

Woodworking may not always fit neatly into traditional classifications, but it’s a prime example of how innovation in business can help turn creative skills into opportunities.

What Are SAE Categories and Why Do They Matter?

What Are SAE Categories and Why Do They Matter
Photo from Canva

Let’s break it down. 

SAE stands for the Society of Automotive Engineers, and they’re well-known for creating global standards for industries like automotive, aerospace, and manufacturing. 

If you’ve worked with machinery, you’ve probably seen SAE standards—they help keep things consistent and safe. 

Now, woodworking isn’t exactly tied to cars or airplanes, but some woodworking tools and machines might still follow SAE’s guidelines, especially when it comes to things like safety or precision. 

Think of SAE as the super-organized librarian of the engineering world, making sure everything is categorized and standardized. 

But woodworking, with its mix of creativity and craftsmanship, doesn’t always fit neatly into those structured rules.

Woodworking and Its Industry Classifications

Woodworking can be categorized in different ways, and SAE is just one part of that.

To get the full picture of how woodworking is classified, you have to look at bigger systems like NAICS or SIC.

Here’s where woodworking fits in:

1. Manufacturing (NAICS Code: 321000)

Most woodworking projects, like making furniture, cabinets, or wood panels, fall under NAICS Code 321000: Wood Product Manufacturing.

This code is basically for any business that turns raw lumber into finished products, such as:

  • Custom Furniture: Handmade pieces like dining tables or cabinets.
  • Pre-Fabricated Woodwork: Mass-produced items, like flat-pack furniture from stores like IKEA.

If your woodworking centers around production, this is likely the right category for you—whether you’re working from a small garage setup or running a larger operation. 

When I first started making custom bookshelves as a hobby for friends, I didn’t think much of it. 

But when I started selling them online, I realized I needed to pick a business category. 

That’s when I learned that “manufacturing” doesn’t just mean big factories—it includes even small, one-person workshops like mine.

2. Construction Industry

Custom woodworking that’s part of a building project is usually classified under the construction industry.

Examples include:

  • Architectural Details: Things like custom staircases, decorative trim, or moldings.
  • Collaborative Work: Partnering with contractors to add custom woodwork to homes or offices.

If your woodworking involves on-site installation or becomes a permanent part of the building, it makes sense to group it under construction.

Essentially, if the woodwork is built into the structure itself, it’s considered part of the construction process.

3. Carpentry

Carpentry and woodworking are closely related, but they’re not the same thing.

Carpentry is more about building structures like roof frames or decks.

If your woodworking involves these kinds of projects, it may fall under carpentry.

But if you’re more into crafting custom, artistic pieces, carpentry might feel like too broad of a label.

It’s kind of like calling a master chef just a “cook”—it’s accurate, but it doesn’t really describe their expertise.

But What About SAE?

Here’s where it gets interesting: SAE standards aren’t specifically designed for woodworking as an industry.

However, they can still apply to certain parts of the process:

  • Woodworking Machinery: Tools like lathes, saws, and CNC machines might follow SAE standards for things like safety or precision.
  • Fasteners and Materials: Screws, bolts, and adhesives often align with SAE material standards.

So, while woodworking as a craft doesn’t fall under SAE’s scope, some overlap exists when it comes to the tools and materials used.

Think of it like a Venn diagram—woodworking mostly falls outside of SAE, but there are some key areas where they meet.

Why Classification Matters

Now, you might be wondering, “Why does this stuff even matter?” Well, here’s the deal:

  1. Taxes: Using the right NAICS or SIC code makes tax season way easier.
  2. Clarity: Picking the right category helps clients and partners quickly understand what you do.
  3. Safety Standards: If you work with machinery, following things like SAE standards keeps everything safe and reliable.

Practical Steps to Classify Your Woodworking Business

If you’re not sure how to classify your woodworking business, here’s a quick breakdown:

Step 1: Figure Out What You Do Most

Do you spend most of your time making furniture? You’re probably in manufacturing. If installation is your main focus, you’re likely in construction.

Example: A friend of mine builds custom tables and installs built-in bookshelves. Since installation takes up most of her time, her business is classified as construction.

Step 2: Check Classification Codes

Look up NAICS or SIC codes to match your business. For woodworking, start with NAICS Code 321000 and explore related options.

Step 3: Check Your Tools

Using advanced equipment? Make sure your tools meet SAE standards. This step is more about quality control than classification.

Step 4: Get Professional Advice

Still stuck? Talk to a tax pro or industry expert. They can help you figure out the right classification for your business.

Frequently Asked Questions

1. Does woodworking fit into SAE categories?

Not exactly, but some woodworking tools and materials might meet SAE standards.

2. Which NAICS code works best for woodworking?

The most common code for woodworking businesses is 321000, which covers Wood Product Manufacturing.

3. How can I tell if my work is considered manufacturing or construction?

It depends on what you do most. If you’re making standalone products, it’s manufacturing. If you’re installing or building directly onto structures, it’s construction.

Key Takings

  • Figuring out where woodworking fits into industry classifications can seem tricky, but it’s an important step if you’re serious about your craft.
  • Whether you’re running a business or just exploring woodworking as a hobby, understanding your place in the industry helps you stay organized and professional.
  • At its core, woodworking is both an art and a trade. While industry codes are helpful for structuring the business side, they’ll never capture the creativity and passion that go into every project.
  • So, don’t let the paperwork overwhelm you—keep building, creating, and enjoying the process.

Useful Resources:

  1. “What Are NAICS and SIC Codes?” by Investopedia: This guide makes it simple to understand these industry classification codes and why they matter for small businesses. Check it out here
  2. “Woodworking Machinery Maintenance 101” by Woodworking Network: Practical tips to help you keep your woodworking equipment running smoothly and safely. Read more here
  3. “Finding the Right Tax Professional for Your Business” by Forbes: A step-by-step guide to help you pick the best CPA or tax advisor for your needs. Learn more here

Was this article helpful?

Thanks for your feedback!
Scroll to Top