Calculators
Remote Work Cost Savings Calculator
Estimate employer savings from reduced office space and employee savings in commuting cost and time from remote or hybrid work.
- Runs in your browser
- Nothing uploaded
The tool
Enter your numbers below. Results update as you type, and nothing leaves your browser.
Everything you enter stays on your own machine. Nothing is sent to us or to anyone else, which you can confirm in your browser network tab.
What people use it for
- Making the case for hybrid work
- Designing a remote work policy
- Setting home office stipends
- Planning office downsizing
About this tool
What the Remote Work Cost Savings Calculator does
Remote and hybrid work can reduce office costs for employers and commuting costs and time for employees. Employer savings depend on how much space can actually be released, offset by home-working stipends; employee savings depend on commute distance and the days not travelled.
Formula
- Employer saving = employees × desk cost × share released − stipends
- Employee saving = remote days × working weeks × round-trip miles × cost per mile
- Hours saved = remote days × weeks × commute minutes ÷ 60
Worked example
Using the starting values in the calculator above:
| Input | Value |
|---|---|
| Remote or hybrid employees | 20 |
| Remote days per week | 3 |
| Office cost per desk per year | $12,000 |
| Share of their desk cost actually saved | 50% |
| Home office stipend per month | $75.00 |
| Round-trip commute | 30 miles |
| Commuting cost per mile | $0.30 |
| Round-trip commute time | 60 minutes |
| Working weeks per year | 46 |
| Result | Value |
|---|---|
| Employer net saving per year | $102,000 |
| Commuting cost saved per employee per year | $1,242 |
| Commuting hours saved per employee per year | 138 |
| Commutes avoided per employee per year | 138 |
How to read the result
Employer savings appear only when space is actually released or growth is absorbed without new space; an empty office costs the same.
Hours saved are a real benefit to employees even when they do not show up in the company accounts.
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Questions
Questions about this tool
The things clients actually want to know — costs, timelines, ownership and what happens after launch.
It can, when office space, utilities and related costs are reduced, offset by stipends and equipment.
Commuting costs and time are the largest savings, offset by higher home energy use.
Many employers offer a monthly allowance or a one-off equipment budget.
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