Cost & Budgeting

Spare Parts Reorder Point & Carrying Cost Calculator

Spare Parts Reorder Point & Carrying Cost Calculator takes annual usage, lead time, the safety-stock days you want to carry, unit cost, order cost, on-hand quantity, and your own carrying-cost percentage and returns a reorder point, a min/max and an order quantity per part, plus what holding that stock costs you each year. Daily usage = annual usage ÷ your operating days. Reorder point = daily usage × lead time + daily usage × your safety-stock days. Order quantity is the economic order quantity — the square root of (2 × annual usage × order cost ÷ (unit cost × your carrying rate)) — and it stays BLANK until you supply a carrying rate, because there is no honest default for it. Carrying cost = average stock value × your carrying rate. Nothing is pre-filled with an outside figure — no carrying-cost percentage, no service-level assumption, no safety-stock formula based on a demand distribution you have not measured. Every value on every sheet is one you entered or one computed from what you entered, against the As-of date you set on 1. Setup, never today's date.