Maximum provider savings share calculator

In a stated shared-savings arrangement, reserve owner debt service, incremental verification cost and required retained cash before allocating the remaining verified savings to the provider.

\text{share}_{\text{max}} = \frac{S - D - M - C_{\text{min}}}{S} \times 100

Calculator

Enter the values you know and leave one box empty. Calculate finds the empty one, the result or any input.

Worked example

Given

$S$ = 160,000 $/yr
$D$ = 70,000 $/yr
$M$ = 12,000 $/yr
$C_{\text{min}}$ = 30,000 $/yr

\text{share}_{\text{max}} = \frac{160{,}000 - 70{,}000 - 12{,}000 - 30{,}000}{160{,}000} \times 100 = 30

Symbols and units

Symbol	Meaning	Unit
$\text{share}_{\text{max}}$	maximum provider percentage	%
$S$	verified annual monetary savings	$/yr
$D$	annual owner debt service	$/yr
$M$	annual incremental M&V cost	$/yr
$C_{\text{min}}$	minimum annual owner cash retention	$/yr

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Results are estimates for study and screening. Check the inputs, units and assumptions before you use them for design, billing or contract decisions.