Resources / Automation ROI Calculator

Automation ROI Calculator: Payback Month and 3-Year Return

Enter the task as it runs today, how much of it you expect to automate, and your build quote. The calculator shows hours saved, the month the build pays back and the return over three years.

The task today

Salary plus employer costs and overhead, per working hour.
People still handle exceptions. Use a figure you would defend in a budget meeting.

Your build

Hosting, model usage and support. Example values; replace them with your own quote.

Payback

hours saved a year
saved a year, before running costs
net after year one
net after three years

The full report adds the month-by-month cash table, a sensitivity check on the automated share, and the questions to ask before you sign a build quote.

Thanks. Your report reaches your inbox within one working day, built on the numbers above.

Method

How the Numbers Are Worked Out

The formulas

  • Hours a year: people × hours a week × 52
  • Yearly saving: hours a year × hourly cost × share automated
  • Monthly net: yearly saving ÷ 12 − running cost
  • Payback month: the first month where cumulative monthly net covers the build cost

What it leaves out

  • Time your team spends on the project while it is built.
  • Revenue effects, such as faster responses winning more deals.
  • Changes in volume over the three years.
  • Tax treatment of the build as capital or operating cost.

FAQ

Questions About This Tool

How does the calculator work out payback?

It multiplies the people, hours a week and hourly cost you enter by 52 weeks, takes the share you expect to automate as the yearly saving, subtracts your monthly running cost, and divides your build cost by what is left each month. The month in which cumulative savings pass the build cost is the payback month.

Where do the build and running costs come from?

From you. Enter the quote or budget you have. The starting values are examples so the chart has something to draw; they are not Ovidius prices.

What counts as the hourly cost?

Use the loaded cost: salary plus employer taxes, benefits and overhead, divided by working hours. If you only know salary, the result will understate the saving.

Why might the real return be different?

Automating a task rarely removes all of it. People still review exceptions, and volumes change. Set the automated share to what you would defend in a budget meeting, not the best case.

Want a Real Quote to Put in Here?

We scope the workflow with you, price the build and the running cost, and show you the payback on your own numbers before you commit.

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