Equipment Rental Rate Calculator

How to use this tool

1. Enter what the unit cost you and how many years you expect to keep it in service.
2. Estimate rental days per year honestly, based on last season or on a similar item you already own.
3. Set your upkeep percentage, the overhead each rental day should carry and your target margin, then compare the suggested daily rate to your current price list.

What the math assumes

• The purchase price is spread evenly across the useful life (straight line depreciation) with no resale value at the end; if you expect to sell the unit, lower the purchase price by that amount.
• Annual upkeep is calculated as a flat percentage of the purchase price every year, using whatever percentage you enter (15% by default).
• Shop overhead is whatever dollar amount you assign to each rental day (15 dollars by default); the calculator does not know your rent or payroll and does not estimate them.
• Target margin is applied as a share of the rate, so a 35% margin means 35 cents of every dollar charged is profit after unit costs and the overhead you entered.
• Yearly revenue and profit assume every rental day is billed at the daily rate; weekly discounts, damage waivers, delivery fees and deposits are not included.