Percentage of Costs Associated with Unallocated CSP Cloud Resources
Definition
Unallocated cost refers to expenses incurred for resources or services that are not directly attributed to specific projects, departments, or applications. These costs can arise due to shared resources, lack of proper cost allocation mechanisms, or simply inefficiencies in resource management. Unallocated costs can contribute to cloud wastage and make it difficult to accurately track and manage expenses. Identifying unallocated cost and reducing them by allocating, improves the cost allocation
Formula, as published
(Total Effective Costs Associated w/Unallocated CSP Cloud Resources During a Period of Time / Total CSP Cloud Costs During a Period of Time)
- Data sources:
- CSP Billing Data
Calculate it
Example values to start with; replace them with yours.
How to measure it
Unallocated is not the same as untagged. A cost can be allocated by account, project or subscription with no tag at all, and a tagged cost can still have no owner if the tag value is wrong.
Count shared costs separately (the shared-cost KPI): a support fee is not unallocated, it is waiting for a split rule.
FOCUS columns: SubAccountId, Tags, EffectiveCost
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More Allocation KPIs
Definition and formula: Percentage of Costs Associated with Unallocated CSP Cloud Resources, FinOps KPI library, FinOps Foundation, licensed CC BY 4.0, read 16 Oct 2026. Changed: HTML removed, dashes and British spellings changed, formula split from its data sources and examples. The calculator and the notes are Finitizer’s.
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