Standby Time Equipment Cost Calculator

Fuel cost per hour = Fuel consumption (L/hr) × Fuel price per liter.

Maintenance allowance per hour = (Ownership/hr + Idle ops/hr) × (Maintenance % ÷ 100).

Cost per hour before fixed items = Ownership/hr + Idle ops/hr + Operator/hr + Fuel/hr + Maintenance/hr.

Variable standby total = Cost per hour before fixed items × Standby hours.

Subtotal = Variable standby total + Fixed charges (mobilization + permits).

Overhead = Subtotal × (Overhead % ÷ 100).

Profit = (Subtotal + Overhead) × (Profit % ÷ 100).

Tax = (Subtotal + Overhead + Profit) × (Tax % ÷ 100).

Grand total = Subtotal + Overhead + Profit + Tax.

1) Why standby time must be priced

Standby time is not “free time.” Equipment still depreciates, consumes consumables, and ties up capital that could be earning elsewhere. Crews remain committed to the site, supervisors still coordinate, and planned production is delayed. A standby cost model turns lost hours into a traceable financial value you can defend in job costing, delay claims, and owner reporting.

2) Defining billable standby hours

Record the start and stop times for the delay, then confirm how many of those hours were unavoidable. Many firms exclude meal breaks, planned maintenance windows, and time where the machine was reassigned. If you capture a daily hours-per-day value, you can communicate a per-day exposure for schedule risk discussions.

3) Ownership cost inputs

Ownership cost represents depreciation, finance, insurance, and ownership taxes. For rented equipment, replace the ownership component with the hourly rental equivalent. Accurate ownership rates are commonly built from monthly ownership totals divided by expected working hours, keeping the rate consistent across projects.

4) Idle operating and maintenance allowance

Even when idle, machines incur wear, fluids, filters, and periodic service. This calculator applies a maintenance allowance percentage to ownership plus idle operating costs. If your fleet has higher service intensity, increase the percentage; if the machine is parked and isolated, lower it to match actual conditions.

5) Fuel and labor during standby

Many machines burn fuel while warming up, running hydraulics, or holding safety systems active. Enter liters per hour and current unit price to convert it into a fuel cost per hour. Operator standby labor should reflect site policy: paid waiting time, minimum call-out hours, and any burdens or fringes you typically include.

6) Fixed charges and site constraints

Some standby events trigger fixed amounts, such as mobilization/demobilization, access permits, or special traffic management fees. Adding these items prevents underbilling. Fixed costs are especially important for short standby events where hourly costs alone may not capture the real site impact.

7) Applying overhead, profit, and tax

After building the subtotal, overhead is applied to represent general business support and project management burden. Profit is then calculated on top of subtotal plus overhead, reflecting common pricing practice. Tax, if applicable, is calculated last. Using separate percentages makes scenario testing transparent.

8) Using outputs for decisions and documentation

The breakdown shows each cost driver and the final grand total, plus an effective cost per standby hour for quick comparisons. Use the CSV or PDF report in daily logs, owner updates, and internal reviews. When paired with clear delay notes and photos, consistent standby costing improves negotiations and accountability.

1) What counts as standby time for equipment?
Standby time is when equipment is on-site and assigned but cannot work due to constraints like access, materials, inspections, or coordination. Document start/stop times and the cause to support the calculated cost.

2) Should I include the full operator rate during standby?
Use your policy and contract terms. If operators are paid waiting time or have minimum call-out hours, include the effective hourly cost. If labor is reassigned, reduce or exclude the operator component.

3) How do I estimate ownership cost per hour?
Build it from depreciation, finance, insurance, and taxes, then divide by expected annual operating hours. For rented machines, use the rental rate per hour as the ownership component for consistency.

4) Why is maintenance applied as a percentage?
Maintenance costs vary by fleet condition and duty cycle. A percentage keeps the estimate proportional to ownership and idle operating costs, making it easy to calibrate using historical service records for similar equipment.

5) What fuel rate should I use if the machine is idling?
Use a measured idle burn rate if available. Otherwise, use a manufacturer guideline or site observation for liters per hour during standby activities like warming, hydraulics, or safety systems.

6) When should I add fixed charges like mobilization?
Add fixed charges when the standby event triggers one-time costs, such as transport, special permits, or access fees. These charges help prevent underestimating short delays with high logistical impacts.

7) Can I use this output for delay claims?
Yes, as a supporting calculation. Pair the report with daily logs, photos, correspondence, and contract references. Clear documentation of cause, duration, and mitigation efforts increases credibility during review.