WMS, Warehouse Labor & Fulfillment worked example

Pallet Storage Cost at 65% average slot occupancy: a worked example

This worked example runs the pallet storage cost numbers for a tougher week than the baseline: 65% average slot occupancy instead of the typical 90%. Estimates the cost of storing inventory on racked pallet positions over a holding period.

The inputs for this scenario

  • Pallet positions billed (pallet-months): 800 pallet-months (held at the documented default)
  • Storage rate per pallet position: 18 $/pallet-month (held at the documented default)
  • Average slot occupancy: 65 % (the input this scenario stresses; the baseline uses 90)
  • Inbound and handling charge: 1,200 $ (held at the documented default)

Working through the calculation

  • The calculation starts from the formula this tool documents: Total storage = pallet-months x rate per position x occupancy % + handling charge.
  • Total pallet storage cost works out to 10,560 $ at these inputs, and this is the headline figure for the scenario.
  • Pallet storage cost per unit works out to 13.2 $ / piece at these inputs.
  • Variable pallet storage cost works out to 9,360 $ at these inputs.
  • Fixed pallet storage cost adder works out to 1,200 $ at these inputs.

How this compares with the baseline

  • Against the tool's baseline example, where average slot occupancy sits at 90% and the headline result is 14,160 $, this scenario comes in 25.42% below the baseline at 10,560 $.
  • Use it to audit a 3PL storage invoice, compare storage quotes, or load storage into a product landed-cost model. A result at this level usually justifies acting on the stressed input before touching anything else, because every other figure in the table is downstream of it.

Results at a glance

  • Total pallet storage cost: 10,560 $ (headline result)
  • Pallet storage cost per unit: 13.2 $ / piece
  • Variable pallet storage cost: 9,360 $
  • Fixed pallet storage cost adder: 1,200 $

Run it with your numbers

  • To rerun this with your own numbers, open the live Pallet Storage Cost calculator, set average slot occupancy to your actual value, and adjust the remaining inputs to match your operation.

Last reviewed 2026-05-12.