Transportation, Freight & Distribution worked example

Load Consolidation Payback with consolidation project cost of 32,500 $: a worked example

Here is what the math looks like when conditions slip. We hold every other input steady and drop consolidation project cost to 32,500 $, then walk the calculation through step by step. Estimate payback for load consolidation work using implementation cost, annual freight savings, and annual support cost.

The inputs for this scenario

  • Consolidation project cost: 32,500 $ (the input this scenario stresses; the baseline uses 65,000)
  • Annual consolidation savings: 52,000 $ / yr (held at the documented default)
  • Annual support cost: 9,000 $ / yr (held at the documented default)

Working through the calculation

  • The calculation starts from the formula this tool documents: Net annual savings = annual consolidation savings - annual support cost.
  • Years to payback works out to 0.76 years at these inputs, and this is the headline figure for the scenario.
  • Net annual savings works out to 43,000 $ / yr at these inputs.
  • Consolidation project cost works out to 32,500 $ at these inputs.
  • Five-year net savings works out to 182,500 $ at these inputs.

How this compares with the baseline

  • Against the tool's baseline example, where consolidation project cost sits at 65,000 $ and the headline result is 1.51 years, this scenario comes in 50% below the baseline at 0.76 years.
  • The practical read: the gap between this scenario and the baseline is entirely attributable to consolidation project cost, so recovering it is worth quantifying in dollars before considering equipment or staffing changes. It assumes flat annual savings and support costs and does not model fuel-price swings, carrier rate changes, or seasonal volume shifts that move freight spend year to year.

Results at a glance

  • Years to payback: 0.76 years (headline result)
  • Net annual savings: 43,000 $ / yr
  • Consolidation project cost: 32,500 $
  • Five-year net savings: 182,500 $

Run it with your numbers

  • To rerun this with your own numbers, open the live Load Consolidation Payback calculator, set consolidation project cost to your actual value, and adjust the remaining inputs to match your operation.

Last reviewed 2026-05-12.