Choose fare-only recovery, recovery including other operating revenue, or minimum fare revenue needed for a target. Enter same-period amounts in US dollars, then select Calculate.

Use revenue and operating costs for the same period, in US dollars.

Covers the entered operating costs; this is not a profit or full lifecycle cost measure.

Passenger fares; exclude subsidies.

Related Calculators

Cost Recovery Ratio Formula

CRR = FR / OC

Variables:

  • CRR is the dimensionless Cost Recovery Ratio; multiply it by 100 to express it as a percent
  • FR is the fare revenue ($)
  • OC is the operating costs ($)

To calculate fare-only Cost Recovery Ratio, divide passenger fare revenue, excluding subsidies, by positive operating costs. The broader mode adds other operating revenue to fares; blank other revenue means zero. The target planner uses minimum fares = max(0, operating costs × target percent / 100 − other revenue). These measures cover the entered operating costs, not profit or full lifecycle costs; suggested targets are examples, not regulatory thresholds.

How to Calculate Cost Recovery Ratio?

The following steps outline how to calculate the Cost Recovery Ratio.

  1. First, determine the fare revenue ($). 
  2. Next, determine the operating costs ($). 
  3. Next, gather the formula from above = CRR = FR / OC.
  4. Finally, calculate the Cost Recovery Ratio.
  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.

fare revenue ($) = 94

operating costs ($) = 32; CRR = 94 / 32 = 2.9375, or 293.75% of the entered operating costs.