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Calcimator

Material Escalation Calculator

Calculate material price escalation over time using compound escalation rates. Determine adjusted costs for change orders and contract amendments.

Inputs

$
months
%/yr

Results

Adjusted Cost

$525,580.95

≈ 13 Teslas

Cumulative Escalation

5.12%

Escalation Amount$25,580.95
How to Use This Calculator
  1. Enter Original Material Cost, Months Elapsed, and Annual Escalation Rate.
  2. Review Adjusted Cost ($) and Cumulative Escalation (%).
  3. Use Escalation Amount ($) to inform your decision.
  4. Use the chart to visualize the results and explore different scenarios by adjusting inputs.

How the result changes with Original Material Cost

Original Material CostAdjusted CostCumulative Escalation
$5,000,090.00$5,255,904.095.12%
$17,500,065.00$18,395,401.545.12%
$32,500,035.00$34,162,798.475.12%
$45,000,010.00$47,302,295.925.12%

What each input means

Original Material Cost
Material cost at the time of the original bid or contract.
Months Elapsed
Number of months since the original pricing.
Annual Escalation Rate
Annual price escalation rate (e.g., steel ~5%, lumber varies, concrete ~3%).

What each result means

Adjusted Cost
Material cost after applying compound escalation.
Escalation Amount
Dollar increase from the original cost.
Cumulative Escalation
Total percentage increase over the period.

How this is calculated

Worked example, using the default values

  1. Identify Input Parameters
    Original Material Cost = 500000, Months Elapsed = 12, Annual Escalation Rate = 5 = 3 input(s) provided
  2. Calculate Adjusted Cost
    Adjusted Cost
    525580.95 = $525,580.95
  3. Calculate Escalation Amount
    Escalation Amount
    25580.95 = $25,580.95

Engine last updated . Checked against 2 independently-derived tests — how we verify calculators.

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