The True Cost of Your Office Shredder

Most business professionals that have chosen to purchase office shredders to shred their everyday confidential documents do so for two reasons. They think do-it-yourself shredding is more secure and they also think that it saves them money versus hiring a shredding service.

If you think your office shredder is more secure than a shredding service we suggest you click here to learn about office shredder risks.

But if you’re a business professional who thinks that using an office shredder is more cost-effective than hiring a shredding service, we invite you to take just a few minutes to determine the true cost of your in-house shredding program. Our cost-savings calculator below will help you see for yourself how much you’re actually spending to shred your everyday confidential documents by hand with an office shredder.

How To Calculate Your Office Shredder Costs To help you calculate your own office shredder costs we’ve provided a side-by-side example of the projected shredding costs of a typical small business office. The way we calculated their costs is detailed below. To calculate your own office shredder costs just follow our example.

  • Number of Employees– They have a staff of 6 full-time employees. Shred Time Per Day– Each employee that uses the office shredder averages about five minutes of daily shred time or 30 minutes total per day for the entire office. You may think that 30 minutes of shredding per day is too much time for a small office, but total shred time is not just the amount of time it takes to shred documents. You must also consider the time it takes for an employee to walk from their work area to the shredder, remove paperclips and staples, pick up and straighten the paper, feed the paper into the shredder and then walk back to their work area. Someone will also have to clean up around the shredder and dispose of the shredded paper every time the bag is full. Considering all those tasks, 30 minutes per day is actually a conservative figure for a small business.
  • Average Hourly Wage– The average hourly wage (plus benefits) in our example is $16.19.
  • Total Daily Shred Time– We multiplied the number of employees (6) times the estimated daily shred time per employees (5 minutes) to arrive at 30 minutes per day.
  • Number of Work Days Per Month– If your office is open Monday – Friday (as in our example) then you average 21.67 work days per month.
  • Number of Shredding Hours Per Month– We multiplied the total daily shred time in hours (.50) times the number of work days per month (21.67) to determine this number as 10.84.
  • Total Monthly Labor Cost To Shred– We then multiplied the total number of monthly shred hours (10.84) times the average hourly wage ($16.19) to get our labor cost of $175.42.
  • Purchase Price of an Office Shredder– In our example the small business purchased just one office shredder for $185.
  • Shredder Life Expectancy– We used a generous shredder life expectancy of 36 months, even though most will need to be replaced in less than two years.
  • Monthly Depreciation Cost– If the $185 office shredder lasts 36 months then the monthly depreciation is $5.14 ($185/36 = $5.14).
  • Monthly Maintenance Cost– Office shredder blades need to be sharpened and bags for the shredded paper need to be purchased. Our experience tells us that this average monthly cost is $4.73. Feel free to use our figure or to try to determine this number on your own.
  • Total Monthly Equipment Cost– This monthly cost is of $9.87 was determined by adding the depreciation and maintenance costs.
  • Total Monthly Cost of The Office Shredder– This monthly cost of $185.29 was determined by simply adding the total labor costs ($175.42 )and the total equipment costs ($9.87).

Using Your Office Shredder Can Cost Twice as Much as a Shredding Service

Your actual costs will likely be different than our small business example, based upon your number of employees, how much they’re compensated and how many documents you shred on a monthly basis. The number of office shredders you purchase, how much they cost and how long they last may also vary. However, when you calculate the true cost of using your office shredders you’ll likely find that it costs more than twice as much to operate your office shredders versus outsourcing the job to a shredding company like ShredQuick.

Ready To Outsource Your Document Shredding?

Now you can increase your document security and reduce your monthly shredding costs by outsourcing the shredding of your every-day documents to ShredQuick. For a fast, no-hassle quote click here.

* Includes time to pick up paper, straighten pages, feed shredder, clean up and paper disposal.

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