Tools to help us calculate costs

Natasha Ong
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4 min read

In a nutshell:

Azure provides two calculators for cost estimation: Pricing Calculator and TCO Calculator.
Pricing Calculator helps existing users estimate individual resources and solution costs.
TCO Calculator compares on-premises and Azure costs for new users, factoring infrastructure, power, and labor.

How much does Azure cost?

Azure provides two key calculators - The Pricing Calculator, and the Total Cost of Ownership calculator - to answer this golden question. Both calculators are accessible from the internet and give your price estimates. But, the two calculators have very different purposes...

The Pricing Calculator

If you're already using Azure, the Pricing Calculator can help you decide which Azure services best fit your budget. You can get an estimate for individual resources, build out a solution, or use an example scenario to see an estimate of the Azure spend.

On a resource level, you can estimate the cost of any Azure resource - including compute, storage, and associated network costs. You can even account for different storage options like storage type, access tier, and redundancy.

On a management level, as you select your subscriptions, services, resources, and third-party solutions, you can add up your costs. You can make adjustments for regions, billing options, Dev/Test pricing, and support options. This can give you a good estimate of the costs of your plans.

Screenshot of the pricing calculator for reference.

The Total Cost of Ownership (TCO) Calculator

If you're not using Azure, the Total Cost of Ownership calculator is designed to help you compare the costs for operating your solution on Azure compared to your on-premises data centre.

You enter details about your current on-premise infrastructure (including servers, databases, storage, and outbound network traffic), and add in assumptions like power and IT labour costs. The TCO Calculator then shows you an estimation of the cost difference to run the same environment in your current data centre or in Azure.

Screenshot of the Total Cost of Ownership calculator.