Embedding Cost Calculator
Cost embedding a corpus once, plus any rebuilds, at your own per-million-token price.
In short
Formula: C = T x (1 + k) x R + Storage
What this calculator does
Metered quantity times rate. Re-embedding is counted explicitly as extra whole passes over the corpus, so nothing is assumed about how often a model or chunking strategy changes.
Use it to turn Currency, Price per million tokens embedded, Tokens embedded, Additional re-embedding passes (optional), and the other shown inputs into a checked result you can compare, copy, or rerun with different assumptions.
The page shows the formula, a numeric worked example, and the assumptions that affect this professional & industry calculation.
Inputs and what they mean
- Currency
- — Amounts are shown in the currency you pick. No exchange rate is applied..
- Price per million tokens embedded
- — Take this from your own bill or the provider's price page. No provider price is built in..
- Tokens embedded
- — Tokens embedded in the first pass, in millions..
- Additional re-embedding passes (optional)
- — Optional component. Leave at 0 to exclude it from the result. Full rebuilds of the same corpus in the period..
- Vector storage cost (optional)
- — Optional component. Leave at 0 to exclude it from the result..
- Price as of (optional)
- — The date you took these prices. It is shown with the result so the figure is never read as a current vendor price..
- Price source (optional)
- — Where the prices came from. Shown with the result..
How to use it
- Enter your own figures — the calculator never fills in a rate, price or benchmark for you.
- Press Calculate to see the result.
- Read the formula, variables, assumptions and source below the result before you rely on it.
Formula
C = T x (1 + k) x R + Storage.
Inputs used: Currency, Price per million tokens embedded, Tokens embedded, Additional re-embedding passes (optional), Vector storage cost (optional), Price as of (optional), Price source (optional).
Edge handling: Price per million tokens embedded is required.; Price per million tokens embedded cannot be negative.; Price per million tokens embedded must be no more than 1000000000.; Tokens embedded is required.; Tokens embedded cannot be negative..
Worked example
420 million tokens embedded once, plus one rebuild
- Start with Currency: USD, Price per million tokens embedded: 0.13, Tokens embedded: 420, Additional re-embedding passes (optional): 1, Vector storage cost (optional): 0.
- Apply the method: C = T x (1 + k) x R + Storage.
- Rebuilds are counted explicitly; nothing is assumed about how often you re-embed.
Reading the result
The headline figure is the main answer. Any breakdown underneath shows the parts that make it up, so you can check the working and see what changes when you adjust an input.
Limitations and assumptions
- Inputs outside the supported range are rejected rather than forced into a result.
- The result depends on the values you enter for this embedding cost calculator; it does not supply missing rates, rules, prices, dates, or assumptions for you.
Reference: The Linux Foundation — Unit economics — FinOps Framework
Last reviewed:
Common questions
Where does this formula come from?
FinOps Framework capability: unit economics — cost per business unit is total cost for a period divided by the units delivered in the same period; a workload's cost is the sum of its metered components charged at the rates the organisation actually pays. See the source link on this page.
What kind of calculation is this?
Tokens embedded, multiplied by the number of passes over the corpus and the user's per-million-token price. Check the formula, example, and limitations on this page before using the result for a real professional & industry decision.
What are its limits?
Arithmetic over the figures entered — it cannot tell whether the metering, logs or invoices behind them are complete. The result is only as current as the rates entered; a rate taken months ago is not a current price. Tiered, committed-use, cached-input and minimum-spend pricing are not modelled unless the user has already reduced them to the rates entered. Query-time embedding of user input is not included unless the user folded it into the token count.
How do I use the Embedding Cost Calculator?
Enter the required values for Currency, Price per million tokens embedded, Tokens embedded, Additional re-embedding passes (optional), Vector storage cost (optional), and the other fields shown. The calculator applies the formula on this page and shows the main result with any supporting breakdown so you can check the arithmetic.
What formula does the Embedding Cost Calculator use?
C = T x (1 + k) x R + Storage The visible formula section above lists the calculation path and the edge cases the page handles, so the result can be checked without relying on the form alone. Check the formula, example, and limitations on this page before using the result for a real professional & industry decision.
Can the Embedding Cost Calculator be used for exact decisions?
Use it as a calculation aid, not as a substitute for checking the underlying rule, contract, policy, or professional advice that applies to your situation. When a result depends on local rules, personal details, prices, or dates, enter those values yourself and confirm them before acting.
Formula, source and verification
Tokens embedded, multiplied by the number of passes over the corpus and the user's per-million-token price.
The question it answers: What does it cost to embed our documents and then run searches against them?
The formula
C = T x (1 + k) x R + Storage
- T — Tokens embedded
- (million tokens). Tokens in one pass over the corpus.
- k — Additional re-embedding passes
- (passes). Optional; excluded at zero, so the default is a single pass.
- R — Price per million tokens
- (currency). From the user's own bill or price page.
- S — Vector storage cost
- (currency). Optional; excluded at zero.
Units: Millions of tokens in, currency out.
What kind of calculation this is
Business input model. The answer depends on business figures only you can supply, such as your own costs, rates or volumes. No market or benchmark values are assumed for you.
Method
Metered quantity times rate. Re-embedding is counted explicitly as extra whole passes over the corpus, so nothing is assumed about how often a model or chunking strategy changes.
Assumptions built into the result
- Mathematical: All the figures entered cover the same measurement period.
- Mathematical: Token counts, requests and hours are taken from the user's own logs or bill.
- Mathematical: Each rebuild covers the whole corpus.
- Mathematical: The token count is the provider's metered count.
Figures this calculator will never guess for you
- No target, benchmark, industry average or typical figure is supplied for any value.
- A definition is never presented as a goal: a cost per request is not a target cost per request, and a contribution margin is not a target margin.
- No model price, GPU price, rate card or list price is built in; every amount is entered by the user.
- No token count, context length or output length is assumed on the user's behalf.
- No currency conversion is applied; amounts stay in the currency selected.
- No chunk size, overlap or re-embedding frequency is assumed.
Limitations
- Arithmetic over the figures entered — it cannot tell whether the metering, logs or invoices behind them are complete.
- The result is only as current as the rates entered; a rate taken months ago is not a current price.
- Tiered, committed-use, cached-input and minimum-spend pricing are not modelled unless the user has already reduced them to the rates entered.
- Query-time embedding of user input is not included unless the user folded it into the token count.
Source and version
- Standard or reference
- FinOps Framework — unit economics and workload cost — FinOps Foundation (FinOps Framework capability: unit economics — cost per business unit is total cost for a period divided by the units delivered in the same period; a workload's cost is the sum of its metered components charged at the rates the organisation actually pays.)
- Published source
- The Linux Foundation — FinOps Framework
- Formula version
- Version 1
- Verification
- Reviewed against the cited source on
- How much weight the source carries
- Standards or government
- Applies to
- Currency
- Amounts stay in the currency you choose; no exchange rate is applied.
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