Below is a sample of some of the expenses one needs to consider before starting a small scale mining operation.
- What ever amount of money you estimate to start add another 50%. There are expenses that come up that you would not have thought of.
- What ever time you estimate to be fully operational add another 30%. It always takes longer then you think.
- Plan on learning and doing as much work on your own as possible to keep your costs down.
Expenses
| Expenses | Category | Description |
| One Time Cost | Electrical Work | Circuits |
| One Time Cost | Electrical Work | PDU, outlet and wires |
| One Time Cost | Inside Improvements | Louvers |
| One Time Cost | Inside Improvements | Louver Instillation |
| One Time Cost | Inside Improvements | build box |
| One Time Cost | Other | Racks and supplies |
| Total One Time | ||
| Expenses | Category | Description |
| Ongoing Costs | Fixed | Rent |
| Ongoing Costs | Fixed | Insurance |
| Ongoing Costs | Fixed | internet |
| Ongoing Costs | Fixed | Alarm |
| Ongoing Costs | Variable | Electrical |
Income
Forecasting your income is difficult but based on your miners hash rate, current difficulty and price you can determine a present value.
Taking your expenses and income components and model them in a scenario analysis so you can see best and worst case scenarios. Always plan for the worst case because it might be your most likely outcome.
Next – Crypto Currency Mining Resources
