AI ROI Calculator

The basic ROI formula for AI tools

The core question for any AI tool purchase is whether the time saved is worth more than the subscription cost. Multiplying hours saved per user per week by the average hourly cost of the employees using the tool gives the monthly labour value recovered. Subtracting the tool cost from that figure gives the net ROI.

Limitations and what this calculation does not cover

This calculator uses a straightforward time-saved model. It does not account for quality improvements, error reduction, morale effects, or the cost of evaluating and onboarding the tool. The quality improvement percentage input adds a simple multiplier for teams that want to model an expected accuracy or output quality gain alongside the time saving.

Hourly rates for knowledge workers vary widely. Using fully-loaded cost (salary plus benefits, overhead, and employer taxes) rather than gross salary alone gives a more conservative and realistic break-even estimate.