What is the AWS Calculator and 5 Tips for Reducing Costs on AWS

What is the AWS Calculator and 5 Tips for Reducing Costs on AWS

What is the AWS Calculator?

The AWS (Amazon Web Services) Calculator is an online tool that helps you estimate the cost of AWS services. It allows users to model a solution based on their requirements, including the types of services needed, the capacity required, and the regions where these services will be deployed. The result is a detailed cost estimate that can guide budgeting decisions.

In the ever-evolving world of cloud computing, cost estimation can be a complex task. With numerous services available and various pricing models to consider, it’s easy to get overwhelmed. That’s where the AWS Calculator shines. It simplifies this complex process by providing a user-friendly interface where you can input your requirements and get a cost estimate.

The AWS Calculator is not just a cost estimation tool. It also aids in optimizing AWS costs. By providing detailed cost breakdowns for each service, it allows users to identify areas where cost savings can be achieved. It’s like having a personal financial advisor for your AWS services.

Key Features of AWS Calculator

The AWS Calculator comes packed with various features designed to make cost estimation and optimization easier. Let’s take a closer look at these features.

Cost Calculation

The primary function of the AWS Calculator is cost calculation. It allows users to input their requirements and provides a detailed cost estimation based on current AWS pricing. The cost calculation feature considers various factors like the type of service, the region, and the capacity required. The result is a comprehensive cost estimate that can guide budgeting and cost optimization efforts.

Service Selection

The AWS Calculator provides an extensive list of AWS services that you can include in your estimate. From computing and storage services to networking and database services, you can select the services that meet your needs. This feature allows you to tailor your estimate to your specific requirements and provides a more accurate cost estimate.

Adjustable Parameters

The AWS Calculator provides adjustable parameters for each service. These parameters include factors like capacity, duration, and region. By adjusting these parameters, you can model different scenarios and understand how changes in these factors affect your costs.

Saving and Sharing

The AWS Calculator allows you to save your estimates for future reference. You can also share your estimates with others, making it a handy tool for collaborative budgeting and cost optimization efforts.

How to Use the AWS Calculator

Using the AWS Calculator is quite straightforward. Start by selecting the services you require. For each service, adjust the parameters to match your needs. Once you’ve added all the necessary services, the AWS Calculator will generate a detailed cost estimate.

First, navigate to the AWS Calculator’s homepage. From there, click on “Create estimate”. This will take you to a new page where you can add services to your estimate. For each service, you’ll need to input the necessary parameters.

To add a service, click on “Add products”. This will open a new window where you can select the service you want. Once you’ve selected a service, you’ll need to input the parameters for that service. These parameters include things like the region, capacity, and duration.

After inputting the parameters, click on “Add to my estimate”. The service will be added to your estimate, and the AWS Calculator will calculate the cost. You can add as many services as you need. Once you’re done, the AWS Calculator will provide a detailed cost estimate.

5 Tips for Reducing Costs on AWS

Now that we understand how to use the AWS Calculator, let’s look at some tips for reducing costs on AWS.

Understanding and Optimizing the Use of Reserved Instances

Reserved instances allow you to reserve capacity for specific services, providing significant cost savings. However, to maximize these savings, you need to understand how to use reserved instances effectively. This involves choosing the right type of reserved instance, the right term length, and the right payment option.

Implementing Auto Scaling

Auto scaling allows you to automatically adjust your capacity based on demand. This can lead to significant cost savings as you only pay for the capacity you use. However, to implement auto scaling effectively, you need to understand how to configure it correctly and monitor it regularly.

Leveraging Spot Instances

Spot instances allow you to bid on unused AWS capacity, often at significantly reduced prices. However, spot instances come with certain risks, like the possibility of your instances being terminated if the spot price exceeds your bid. Understanding how to leverage spot instances effectively can lead to significant cost savings.

Utilizing Cost Explorer for Cost Optimization

AWS Cost Explorer is a tool that allows you to visualize your AWS costs and usage. By using Cost Explorer, you can identify trends, pinpoint cost drivers, and detect anomalies. This information can guide your cost optimization efforts and help you make more informed decisions.

Right-sizing Your Services to Match Your Needs

Right-sizing involves matching your AWS service usage to your actual needs. This can involve scaling down underused resources or scaling up resources that are consistently at high utilization. Right-sizing can lead to significant cost savings, but it requires a thorough understanding of your usage patterns and needs.


In conclusion, understanding the AWS Calculator and its various features is essential for any business aiming to optimize their AWS costs. Equipped with this knowledge, you can make more informed decisions, optimize your costs, and maximize the value you get from your AWS services. The journey to AWS cost optimization may seem daunting, but with the AWS Calculator as your guide, it becomes a journey worth taking.

Author Bio: Gilad David Maayan

Gilad David Maayan is a technology writer who has worked with over 150 technology companies including SAP, Imperva, Samsung NEXT, NetApp and Check Point, producing technical and thought leadership content that elucidates technical solutions for developers and IT leadership. Today he heads Agile SEO, the leading marketing agency in the technology industry.


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