ROI Calculator

Calculate return on investment for AI automation projects

Cost Inputs

Automation Metrics

Manual Cost/Month
$2,500
Net Monthly Savings
$1,000
Payback Period
5.0 mo
Annual Savings
$12,000

Monthly ROI

Return on your AI investment

67%

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What is AI ROI Calculation?

AI ROI (Return on Investment) measures the financial value generated by AI automation compared to its costs. It helps you justify AI projects to stakeholders, prioritize automation opportunities, and understand the true business impact of AI investments.

This ROI calculator helps you quantify the value of AI automation by comparing API costs against manual labor savings. Input your automation metrics and instantly see payback period, monthly savings, and overall return on investment.

How AI ROI is Calculated

Manual Cost = Tasks × (Minutes/60) × Hourly Rate

Net Savings = Manual Cost - API Cost

ROI % = (Net Savings / API Cost) × 100

Payback = Implementation Cost / Monthly Savings

Factors Affecting AI ROI

📊 Task Volume

Higher task volumes mean more labor savings. Low-volume use cases may not justify implementation costs.

⏱️ Time Savings

Tasks that take longer to complete manually yield higher savings per automation.

💰 Labor Costs

Higher-paid roles amplify savings. Automating $100/hr work saves more than $20/hr work.

🤖 API Efficiency

Optimizing prompts and choosing cost-effective models reduces API costs and improves ROI.

Hidden Value Not in This Calculator

  • Quality improvements: AI can outperform humans on consistency and accuracy.
  • 24/7 availability: AI doesn't sleep, enabling round-the-clock automation.
  • Scalability: AI scales instantly without hiring delays.
  • Employee satisfaction: Automating tedious tasks lets staff focus on meaningful work.
  • Speed improvements: Tasks complete in seconds vs. minutes, improving user experience.

Frequently Asked Questions

What's a good ROI for AI projects?

Aim for 100%+ monthly ROI with payback under 6 months. High-volume use cases can achieve 500%+ ROI. Projects under 50% ROI may need optimization.

Should I include initial development time?

Yes! Include developer time, testing, and integration costs in "Implementation Cost" for accurate payback calculations.

What if ROI is negative?

Re-evaluate the use case. Consider cheaper models, prompt optimization, or whether AI is the right solution. Some use cases aren't cost-effective to automate.