# Cost savings calculator

Use Starshipit’s shipping cost calculator to estimate fulfilment savings, compare plan options, and identify where you can reduce shipping costs.

Canonical URL: https://starshipit.com/shipping-cost-calculator

## Cost savings calculator

Use the cost savings calculator to estimate how much money your business could save every month by using Starshipit for shipping automation.*

### Calculator inputs

- Currency options: AUD ($), NZD ($), GBP (£), USD ($).
- Average order volume per month. Default example: 4,000 orders/month. Visible slider range: 0 to 10,000+ orders/month.
- Average fulfilment time spent per order. Default example: 12 minutes/order. Visible slider range: 0 to 30+ minutes/order.
- Average hourly wage of staff fulfilling orders. Default example: $40/hour. Visible slider range: $0 to $100+/hour.

### Calculation model

- Current monthly fulfilment labour cost = monthly orders * minutes per order * hourly wage / 60.
- Estimated monthly cost savings = round(current monthly fulfilment labour cost * 50%).
- Estimated monthly time savings in hours = round(estimated monthly cost savings / hourly wage).
- Estimated annual cost savings = estimated monthly cost savings * 12.
- Estimated annual time savings = estimated monthly time savings * 12.
- The estimate excludes courier rates, packaging, other fulfilment costs, and Starshipit subscription charges.

### Example result

Using 4,000 orders/month, 12 minutes/order, $40/hour, and a 50% saving assumption:

- Current monthly fulfilment labour cost: $32,000.
- Estimated monthly cost savings: $16,000.
- Estimated annual cost savings: $192,000.
- Estimated monthly time savings: 400 hours.
- Estimated annual time savings: 4,800 hours.

### Terms

*This calculator provides estimates only, and actual results may vary. The results are based on the average percentage of time saved (50%) from a survey of Starshipit customers. This calculation is excluding costs such as courier rates, packaging and other fulfilment costs. Cost savings exclude the cost of the Starshipit subscription charges.

## See what shipping automation could save at different order volumes*

### Estimated savings by order volume

- 100 orders/month: approx. 8 hours/month; $3.2k AUD/year.
- 500 orders/month: approx. 42 hours/month; $16k AUD/year.
- 1,000 orders/month: approx. 83 hours/month; $32k AUD/year.
- 5,000 orders/month: approx. 417 hours/month; $160k AUD/year.
- 10,000 orders/month: approx. 833 hours/month; $320k AUD/year.

### Disclaimer

*This table provides estimates only, and actual results may vary. Estimates use 10 minutes/order, 50% time saved, and an AU warehouse labour benchmark of $32/hour. 50% time saved is based on the average percentage of time saved from a survey of Starshipit customers. This calculation excludes courier rates, packaging, other fulfilment costs, and Starshipit subscription charges.

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