Calculator · 6 min

ROI & payback calculator

Estimate yearly savings, project cost, and how long the investment may take to pay back.

No sign-in · Results are not sent to Voodoo · Assumptions shownNot sure about a term? Open the plain-English glossary

Your numbers

Describe your operation

Example values are already filled in so you can see how the tool works. Replace them with measurements from your operation. Results update immediately.

Open the plain-English glossary

Worker time

Annual order linesTotal product lines processed in one year. One line can contain several units.

Example: 750,000 order lines/yearCurrent seconds / lineAverage labor seconds for one product line today. Use the same start and stop points as the future value.

sec

Example: 24 seconds/lineFuture seconds / lineExpected seconds per line after the change, preferably measured in a trial.

sec

Example: 18 seconds/lineLoaded labor rateHourly pay plus the payroll taxes, benefits, and other employment costs included in your analysis.

$/hr

Example: $22 pay + $5 included costs = $27/hourRealization factorPercent of theoretical saved time expected to become usable capacity or actual cost savings.

Example: 1,000 theoretical hours × 80% = 800 credited hours

Mistakes and project cost

Current error rateErrors divided by the same opportunities used in the volume field.

Example: 0.8% = 8 errors per 1,000 linesFuture error rateError rate you reasonably expect after a measured change.

Example: 0.25% = 2.5 errors per 1,000 linesAverage cost / errorAverage labor, freight, replacement, service, penalty, and correction cost caused by one error.

Example: $24 per errorInitial investmentOne-time hardware, software, integration, installation, and training cost.

Example: $32,000 one timeAnnual recurring costYearly subscription, support, hosting, maintenance, and expected replacement cost.

Example: $3,000/year

Show the math and assumptions

Yearly labor benefit = saved seconds × yearly lines ÷ 3,600 × hourly worker cost × realization factor.

Payback months = initial investment ÷ yearly net benefit × 12.

The low and high cases change gross labor-and-error benefits first, then subtract the same recurring cost.

How to read this

The yellow result is the main planning answer. Change any uncertain input to see whether the answer is stable. Treat this as a starting point for a small real-world test, not a promise.

Annual labor benefit$27,0001,250 potential saved hours before applying the realization factor

Annual error benefit$99,000Estimated yearly reduction in error-related cost.

Net annual benefit$123,000Yearly labor and error benefit after recurring cost.

Simple payback3.1 monthsMonths of net benefit needed to recover the initial investment.

3-year simple ROI1,053%Three-year net gain divided by the initial investment.

3-year net cash$337,000Three years of net annual benefit minus the initial investment.

How uncertain benefits change the yearly answer

65% of gross benefits, then recurring cost$78,900

Base case$123,000

125% of gross benefits, then recurring cost$154,500

Faster work can create capacity without reducing payroll. Count that capacity as financial value only when it avoids real cost or supports profitable extra volume.

What to check nextThis is an ROI and payback screen, not a full accounting model. Taxes, financing, depreciation, working capital, and the changing value of money are not included.

After the calculation

Test the answer on a small piece of real work.

Measure today’s result first. Write down what success means, what can go wrong, and how workers will continue if the new method fails.

Plan a small trial Build a go-live test