Enter the overall cost increase ($) and the number of years into the Calculator. The calculator will evaluate the Cost Increase Per Year. 

Cost Increase Per Year Formula

CIPY = CI / Y

Variables:

  • CIPY is the Cost Increase Per Year ($/year)
  • CI is the overall cost increase ($)
  • Y is the number of years

To calculate Cost Increase Per Year, divide the total increase by the time period in years.

How to Calculate Cost Increase Per Year?

The following steps outline how to calculate the Cost Increase Per Year.

  1. First, determine the overall cost increase ($). 
  2. Next, determine the number of years. 
  3. Next, gather the formula from above = CIPY = CI / Y.
  4. Finally, calculate the Cost Increase Per Year.
  5. After inserting the variables and calculating the result, check your answer with the calculator above.

Example Problem : 

Use the following variables as an example problem to test your knowledge.

overall cost increase ($) = 4000

number of years = 3