What is the ‘Payback Period’?

The payback period is the time taken to pay back the investment, ie when the costs equal the benefits.

A short payback period may add to the business case for investing in further training.

The ROTI Calculator calculates the payback period by comparing reported benefits with reported costs as follows:

Payback Period = costs/monthly benefits

For example:

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What is the ‘Payback Period’? How do I collect ROTI data and create the ROTI report? Why calculate ROTI? When should ROTI be calculated? Over what time period should ROTI be calculated? What is the ‘Payback Period’?