Inventory Shrinkage Calculator
Calculate Australian retail inventory shrinkage units, percentage and ex-GST cost value from book and physical stocktake counts.
Your results
Calculation breakdown
- Shrinkage
- (book units − physical units) ÷ book units × 100
Worked example
A book balance of 2,500 units and count of 2,435 leaves 65 units shrinkage, equal to 2.6% and $1,170 at $18 cost each.
Assumptions
- Book and physical counts share one cut-off.
- The unit cost basis is consistent across the stock counted.
Sources
Rates effective 23 August 2026.
How this calculator works
Quantify units and cost value missing when a physical retail stocktake is lower than the inventory system balance. Separating unit, percentage and cost impacts helps operators investigate recording errors, damage, waste or loss. Inputs and intermediate quantities remain visible so Australian operators can reconcile the result with point-of-sale, inventory, fulfilment, website or campaign records.
Frequently asked questions
Which records should I use for the inventory shrinkage result?
Reconcile counted and book stock at the same cut-off, including goods in transit, returns, transfers and approved write-offs. Use one consistent reporting period and document any exclusions or channel filters.
What can distort this inventory shrinkage estimate?
The calculation identifies a variance but cannot determine its cause, tax treatment or whether every item was counted correctly. Compare like-for-like periods before treating a change as operational improvement.
Does this inventory shrinkage calculator confirm compliance?
No. It is a transparent operational estimate only. Reconcile counted and book stock at the same cut-off, including goods in transit, returns, transfers and approved write-offs. Obtain qualified advice where consumer, privacy, spam, tax or accounting obligations apply.