Use incremental cost
Compare the new system with the costs you would actually stop paying. If the new subscription is $200 and it genuinely replaces an $80 tool, the incremental fixed cost is $120 before differences in fees, training and add-ons. If both tools remain, there is no $80 saving.
Choose an honest hourly value
Use the value of the work being displaced, not your highest customer billing rate by default. Saving an owner an hour may create capacity, but it only becomes extra revenue if that time can be used productively and there is demand. Paid staff time is only a cash saving when the actual spend falls.
Calculate the threshold
Divide incremental monthly cost by the realistic value of an hour. At $180 per month and $30 per hour, the threshold is six hours each month. These are illustrative inputs, not measured savings from a provider.
Measure before and after
Record time spent on a few recurring admin tasks before the trial. Repeat the same tasks after the team has learned the new workflow. Note errors, rework and customer confusion as well as speed. Separate initial training from ongoing operation.
Include the transition cost
Setup, migration and training belong in the decision. Use a conservative estimate for the first months rather than applying an ideal future saving from day one. Review the result after a real pilot.
Use the calculation to set a testable target: “This change needs to save six useful hours a month.” Then measure whether it does.
This is a suggested evaluation method, not a claim of measured savings or hands-on results from any provider.