Circular Economy, Recycling & Remanufacturing worked example

Reuse Payback with reuse program launch investment of 212,500 $: a worked example

Push reuse program launch investment up to 212,500 $ and the picture changes. This example computes every intermediate figure at that operating point. a team needs to approve a reuse program or compare single-use versus reusable flows for a reuse project

The inputs for this scenario

  • Reuse program launch investment: 212,500 $ (raised for this scenario; the documented default is 85,000)
  • Annual avoided purchase, disposal, and handling savings: 42,000 $ / yr (unchanged)
  • Annual washing, tracking, repair, and administration cost: 8,500 $ / yr (unchanged)

Working through the calculation

  • Applying the documented formula (Net annual savings = annual avoided purchase, disposal, and handling savings - annual washing, tracking, repair, and administration cost) to the inputs above produces each figure below.
  • At this operating point the engine returns 6.34 yr for reuse payback payback period, the number this scenario is built around.
  • At this operating point the engine returns 33,500 $ / yr for net annual reuse payback savings.
  • At this operating point the engine returns 212,500 $ for reuse program launch investment.
  • At this operating point the engine returns -45,000 $ for five-year net reuse payback value.

How this compares with the baseline

  • Against the tool's baseline example, where reuse program launch investment sits at 85,000 $ and the headline result is 2.54 yr, this scenario comes in 150% above the baseline at 6.34 yr.
  • It computes the payback period in years for a reuse program by dividing the launch investment by net annual savings, which is avoided purchase, disposal, and handling savings minus the program's operating cost. The value of this scenario is the size of the gap it exposes: that gap, priced out over a year, is the budget you can justify spending to close it.

Results at a glance

  • Reuse Payback payback period: 6.34 yr (headline result)
  • Net annual reuse payback savings: 33,500 $ / yr
  • Reuse program launch investment: 212,500 $
  • Five-year net reuse payback value: -45,000 $

Run it with your numbers

  • Every input above is editable in the live Reuse Payback calculator, which recalculates instantly and can be shared with the inputs intact.

Last reviewed 2026-05-12.