Free Reorder Point Calculator

Find out exactly when to reorder before you run out of stock. No signup required. Enter your average daily usage, supplier lead time, and safety stock, and Encarmo calculates your reorder point instantly.

Free forever·No signup required·Instant calculations
Usage & Lead TimeFulfillment cadence
Units sold or consumed per day
Days from PO to warehouse receipt
Safety Stock Buffer
Fixed emergency stock level to prevent stockouts

Reorder Point Trigger

Order trigger inventory threshold

Reorder Point (ROP)180 unitsApprox. 9.0 days of inventory remaining
Lead time demand140 units
Safety stock (buffer)+40 units
Trigger reorder at180 units
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Step by step

How to calculate your reorder point in 5 steps

1

Find your average daily usage

How many units of this item you typically sell or use per day, based on recent sales history.

2

Enter your lead time

The number of days between placing a purchase order with your supplier and receiving the stock.

3

Set your safety stock

A buffer quantity to cover unexpected spikes in demand or delays in delivery.

4

Use the advanced calculator if needed

Enter your maximum daily usage and maximum lead time, and Encarmo calculates a safety stock number instead of a guess.

5

Review your reorder point

Encarmo adds average usage during lead time to your safety stock, showing the exact quantity that should trigger a new order.

The basics

What is a reorder point?

A reorder point is the inventory level at which a new purchase order should be placed, so replacement stock arrives before the current stock runs out. Wait until inventory hits zero, and the business runs out during the wait for the new shipment. Reorder too early, and cash sits tied up in inventory that isn't needed yet.

Reorder Point = (Average Daily Usage × Lead Time in Days) + Safety Stock
Safety Stock = (Max Daily Usage × Max Lead Time) - (Avg Daily Usage × Avg Lead Time)
The structure

The three numbers behind a reorder point

Average daily usage — What actually moves

How many units get sold or consumed per day on average, based on recent history rather than a guess.

Lead time — How long the wait is

How many days pass between placing an order and the stock actually arriving and being ready to sell.

Safety stock — The buffer

Extra units to absorb a demand spike or a supplier delay, so a single bad week does not turn into a stockout.

Worked example

Worked example: a simple reorder point calculation

Store selling 20 units/day with 7-day supplier delivery window

Average daily usage20 units/day
Lead time7 days
Lead time demand20 × 7 = 140 units
Safety stock40 units
Reorder point (ROP)(20 × 7) + 40 = 180 units

When stock on hand drops to 180 units, it is time to reorder. At 20 units sold per day, that is roughly 9 days of stock remaining, enough to cover the 7-day lead time plus a buffer. This example uses a manually entered safety stock; the advanced calculator above computes one instead from your maximum usage and lead time.

Comparison guide

Reorder point vs. safety stock: what's the difference?

Reorder PointSafety Stock
ShowsThe inventory level that triggers a new orderThe buffer quantity built into that level
Formula(Avg Daily Usage × Lead Time) + Safety Stock(Max Daily Usage × Max Lead Time) - (Avg Daily Usage × Avg Lead Time)
AnswersWhen should I reorder?How much extra should I keep on hand?
Changes whenUsage or lead time changesDemand or delivery variability changes
Strategic impact

Why accurate reorder point planning matters

Preventing stockouts

Reordering at the right level means new stock arrives before the shelf goes empty, protecting sales that would otherwise go to a competitor.

Reducing excess inventory

Reordering too early or keeping too much safety stock ties up cash and warehouse space that could go toward other parts of the business.

Planning around supplier delays

A longer or less reliable lead time raises the reorder point, so this number should be revisited any time a supplier relationship changes.

Managing seasonal demand

Products with predictable seasonal spikes need a different reorder point during peak periods than during the rest of the year.

Why Encarmo

Why use Encarmo's free reorder point calculator

Completely free, no limits

Run unlimited calculations with no paywall or watermark.

No signup required

Get your reorder point instantly as a guest.

Includes an advanced safety stock formula

Not just a manual guess, when you have the usage data for it.

Works for any unit type or product

No category or SKU restrictions.

Clean, downloadable summary

Download the numbers to share with a supplier or ops teammate.

Common questions

Questions people ask us

Clear, direct answers on methodology, formulas, and usage.

Is this reorder point calculator really free?
Yes. Run unlimited calculations with no signup and no cost.
What's the difference between reorder point and safety stock?
Reorder point is the inventory level that triggers a new order. Safety stock is the buffer built into that level to absorb demand spikes or supplier delays.
How do I find my average daily usage?
Divide total units sold or used over a recent period, such as the last 30 or 90 days, by the number of days in that period.
What if my supplier's lead time varies?
Use your typical or average lead time for the main reorder point calculation, and use your worst-case (maximum) lead time in the advanced safety stock calculation to account for that variability.
What happens if I set my safety stock too low?
The business risks a stockout if demand spikes or the supplier is late, potentially losing sales to a competitor while waiting for the next shipment.
What happens if I set my safety stock too high?
Cash and warehouse space get tied up in inventory that isn't moving, which is its own cost even though it avoids a stockout.
Does this work for seasonal products?
Yes, but recalculate the reorder point using the average daily usage from the relevant season rather than a full-year average, since usage during a peak period can be very different.
How often should I recalculate my reorder point?
Any time average usage, lead time, or supplier reliability changes meaningfully, and at minimum whenever a new selling season begins.
Do I need inventory software to use this?
No, this calculator works on its own for a one-time or occasional check. Encarmo Inventory is useful for tracking usage and reorder points automatically across every product, and it starts with a 14-day free trial, no card required.
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