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Business Calculators

Inventory Shrinkage Calculator

Verified formula Updated Jun 2026 Private — runs on your device

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Verified formula Private

Shrinkage rate

5.00%

Shrinkage loss
₹500.00

For general information only — not financial, tax, legal or medical advice. Verify before you rely on it.

How to use the Inventory Shrinkage Calculator

The Inventory Shrinkage Calculator works out your shrinkage rate, along with 1 related figure in an instant. Enter recorded inventory value and actual inventory value and the result updates as you type — it is free, needs no sign-up, and runs entirely in your browser so your figures stay private.

  1. Enter the recorded inventory value.
  2. Enter the actual inventory value.
  3. Read off your shrinkage rate, together with shrinkage loss — the calculator updates automatically, with no button to press.

Formula

The Inventory Shrinkage Calculator uses the formula:

Shrinkage rate = (Recorded inventory value - Actual inventory value) ÷ Recorded inventory value × 100

Worked example

For example, with recorded inventory value of 10,000 and actual inventory value of 9,500, the shrinkage rate is 5.00%.

Inputs used
Recorded inventory value 10,000
Actual inventory value 9,500
Results
Shrinkage rate 5.00%
Shrinkage loss ₹500.00

Results are estimates for educational use, not professional advice.

Frequently asked questions

Subtract actual from recorded inventory, divide by recorded, and multiply by 100. 10,000 recorded versus 9,500 actual is 5% shrinkage.

Theft, damage, spoilage, miscounts and supplier errors all reduce stock below the recorded level.

Retail shrinkage often runs around 1–2%. Higher figures suggest losses worth investigating.

Tighten counting and receiving, improve security, train staff and audit stock regularly.

Enter the recorded inventory value. Enter the actual inventory value. Read off your shrinkage rate, together with shrinkage loss — the calculator updates automatically, with no button to press.

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