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Calcimator

Water/Sewer Rate Calculator

Calculate utility rates to meet revenue requirements with fixed and variable rate components.

Inputs

$

Results

Monthly Fixed Charge

$16.67

≈ 3 cups of coffee

Average Monthly Bill

$41.67

≈ 8 cups of coffee

Rate Per Gallon$0.01
How to Use This Calculator
  1. Enter Annual Revenue Required and the Customer Count for the water or sewer utility.
  2. Enter Average Monthly Usage in gallons per customer and Fixed Cost Share percentage.
  3. Review Monthly Fixed Charge and Variable Rate Per Gallon — the two components of a typical rate structure.
  4. Check Average Monthly Bill to assess bill affordability for residential customers.
  5. Use the rate design to achieve full cost recovery while reflecting equitable cost allocation.

How the result changes with Customer Count

Customer CountMonthly Fixed ChargeAverage Monthly Bill
1,000,001$0.17$0.17
3,500,001$0.05$0.05
6,500,000$0.03$0.03
9,000,000$0.02$0.02

What each input means

Annual Revenue Required ($)
Total annual revenue needed to operate the water/sewer utility
Customer Count
Number of water/sewer customer accounts
Avg Monthly Usage (gal)
Average monthly water usage per customer in gallons
Fixed Cost Share (%)
Percentage of costs that are fixed (infrastructure, debt service)

How this is calculated

Worked example, using the default values

  1. Identify Input Parameters
    4 parameters
    Annual Revenue Required ($) = 5000000, Customer Count = 10000, Avg Monthly Usage (gal) = 5000, Fixed Cost Share (%) = 40 = 4 input(s) provided
  2. Calculate Monthly Fixed Charge
    Monthly Fixed Charge
    16.67 = $16.67
  3. Calculate Average Monthly Bill
    Average Monthly Bill
    41.67 = $41.67
  4. Calculate Rate Per Gallon
    Rate Per Gallon
    0.005 = $0.005

Engine last updated . Checked against 3 independently-derived tests — how we verify calculators.

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