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Fleet KPI — 5-Year TCO

5-Year TCO for equipment fleet management decisions.

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5-year TCO ($)
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All-in per hour ($/h)

TCO turns brochures into one comparable number — and exposes that purchase price is typically only 25–40% of five-year cost. The cheaper machine that burns three more litres an hour loses by year three; this is the spreadsheet that catches it at the demo, not the disposal.

Formula

TCO = (own+op) × hours over the period (resale already inside owning's salvage)
References: AEM / EquipmentWatch cost evaluation methods; Caterpillar Performance Handbook — owning & operating costs

Note: Planning estimate — your machine's real costs depend on application severity, operator, fuel price and maintenance history. Calibrate with your own records.

Disclaimer: This tool is for general informational and estimation purposes only and is not professional financial, tax, accounting or legal advice. All figures are estimates — verify with a qualified professional before making decisions. Read the full disclaimer.

5-Year TCO for equipment fleet management decisions. A free heavy equipment depreciation & ownership cost tool — no sign-up, no upload, instant results in your browser.

About Fleet KPI — 5-Year TCO

Fleet KPI — 5-Year TCO computes the governing relationship TCO = (own+op) × hours over the period (resale already inside owning's salvage) live as you type. TCO turns brochures into one comparable number — and exposes that purchase price is typically only 25–40% of five-year cost. The cheaper machine that burns three more litres an hour loses by year three; this is the spreadsheet that catches it at the demo, not the disposal. Defaults are pre-filled with realistic values for this exact scenario, and the worked example substitutes your numbers step by step so the math is never a black box.

How to use Fleet KPI — 5-Year TCO

  1. 1Enter your values — Purchase price, Owning cost, Operating cost, Annual hours and more (sensible defaults are pre-filled).
  2. 2Read the live results: 5-year TCO, All-in per hour.
  3. 3Check the "with your numbers" line to see TCO = (own+op) × hours over the period (resale already inside owning's salvage) substituted step by step.
  4. 4Adjust inputs until the scenario matches yours, then copy or share the result.

Why use Fleet KPI — 5-Year TCO?

  • Instant, free and private — every calculation runs client-side in your browser; nothing is uploaded
  • Built on the stated formula TCO = (own+op) × hours over the period (resale already inside owning's salvage) with authoritative sources cited on the page (AEM / EquipmentWatch cost evaluation methods; Caterpillar Performance Handbook — owning & operating costs)
  • TCO turns brochures into one comparable number — and exposes that purchase price is typically only 25–40% of five-year cost.
  • Niche-specific defaults give a meaningful worked answer the moment the page loads

Frequently asked questions

What formula does the fleet kpi — 5-year tco use?+

It evaluates TCO = (own+op) × hours over the period (resale already inside owning's salvage), exactly as published. Sources: AEM / EquipmentWatch cost evaluation methods; Caterpillar Performance Handbook — owning & operating costs. The substituted worked example on the page lets you verify every step against the textbook.

How should I read the result — and how far can I trust it?+

TCO turns brochures into one comparable number — and exposes that purchase price is typically only 25–40% of five-year cost. Planning estimate — your machine's real costs depend on application severity, operator, fuel price and maintenance history. Calibrate with your own records.

When is this calculator the right tool for the job?+

5-Year TCO for equipment fleet management decisions. A free heavy equipment depreciation & ownership cost tool. The cheaper machine that burns three more litres an hour loses by year three; this is the spreadsheet that catches it at the demo, not the disposal. For neighbouring scenarios, the related tools below cover the same engine with different presets.

Do I need to install anything or create an account?+

No. The tool is pure client-side JavaScript: open the page and it works, offline once loaded, with no account, no quota and no data leaving your device.

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