Cloud vs On Prem Cost
Free Cloud vs On Prem Cost calculator with clear step-by-step results.
About Cloud vs On Prem Cost
Cloud trades capital expense for operating expense.
Formula
Formula
Totals over the horizon; breakeven where capex is recovered
Worked example
With the default values below, Cloud vs On Prem Cost returns Cloud Total of $43,200.00. Change any input above and every figure here is recalculated in your browser.
Inputs used
- Cloud monthly costminimum 0 $
- 1,200 $
- On-prem capital costminimum 0 $
- 50,000 $
- On-prem monthly costminimum 0 $
- 400 $
- Comparison horizon (months)minimum 1
- 36
Results
- Cloud Total
- $43,200.00
- On-prem Total
- $64,400.00
- Cloud Advantage
- $21,200.00
- Breakeven (months)
- 62.5
Step by step
- 1Values used
- 2Formula
- 3Cloud Total= $43,200
- 4On-prem Total= $64,400
- 5Cloud Advantage= $21,200
- 6Breakeven (months)= 62.5
Assumptions and limits
- The result is derived only from the 4 inputs listed above. Anything not among them is not part of the calculation.
- In particular, this calculator does not take inflation, tax or compounding frequency into account.
- Figures are rounded for display to 1 decimal place, so totals built from several rounded parts can differ slightly from the unrounded arithmetic.
How these calculators are built and tested is described on the Methodology page. If a figure looks wrong, please report it.
Frequently Asked Questions
How does this calculator work?
Cloud trades capital expense for operating expense.
Why does this matter?
Total cost of ownership depends on utilisation.