Humanfrog Lab

Backup and disaster recovery: RPO, RTO, storage and the cost of downtime

Every company has backups, but few know how much data they would lose and how long recovery would take if ransomware encrypted the servers or a data centre failed. The answers are the RPO and RTO targets, which must be set by the business, not only by IT.

With the calculator below, estimate the backup storage needed under the 3-2-1 rule, check whether your backup frequency and restore speed meet your RPO and RTO targets, and calculate what an outage costs you. The guide below the tool explains the 3-2-1-1-0 rule, immutable backups and disaster recovery.

Backup and DR calculator

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Backup and DR calculator

The calculator has three connected parts: backup storage, RPO and RTO targets, and the cost of downtime. All default values are assumptions and serve only as a starting point, so replace them with data from your own environment.

1. Backup storage

Estimate how much space you need for one copy and for all copies under the 3-2-1 rule. All default values are assumptions.

Data
Total size of the servers, virtual machines and data you back up. Assumption: 10 TB.
Share of data that changes in one day. Assumption: 3%; 2–5% in a typical business environment, more for databases.
Assumption: 2 : 1. For data that is already compressed (video, images, archives) count on closer to 1 : 1.
Assumption: 20% for data growth and working space in the repository.
Retention: number of restore points (GFS)

Assumption: 14 daily, 4 weekly, 12 monthly and 0 yearly points. Add yearly points if regulations or internal rules require longer retention.

Copies and repository
Each copy is assumed to have the same retention. Together with the production data, two backup copies make three copies under the 3-2-1 rule.
Weekly, monthly and yearly points then take up only the changed blocks (assumption: 30% of daily changes over the period). Without it, each is stored as a full copy.

Storage

ItemEstimate
Full backup (after compression)
Daily incremental backup
All restore points of one copy
Space per copy (with headroom)
Number of backup copies
Total space

2. RPO and RTO targets by system group

RPO sets how much data you can lose and RTO how quickly systems must be running again. For each group, enter the amount of data and the targets. The calculator suggests a backup frequency and estimates the restore time.

Critical systems
Important systems
Other systems
Restore
Assumption: 250 MB/s. It depends on storage, network and the target environment; it is often lower when restoring from the cloud. The best way to know is a restore test.
Assumption: 1 h for the decision, preparing the environment, start-up and checking that everything works.

RPO and RTO

Group Backup frequency for RPO Estimated restore Target RTO Result

3. Cost of downtime

Estimate what an hour of downtime costs and the expected annual loss, and compare it with the cost of a better disaster recovery (DR) level.

Outage today
Assumption: EUR 2,000. Count only revenue that is actually lost during an outage and cannot be made up later.
Assumption: EUR 25 per hour (employer cost). Assumption for employees: 50.
Assumption: 24 h for a serious incident, for example ransomware or a server failure.
Assumption: 10%. Enter your own risk estimate.
Better DR level
Assumption: EUR 6,000 per year; this is not a service price. Enter the amount from your own quote.
Assumption: 4 h, for example with replication or instant recovery in a second data centre.

Cost of downtime

ItemTodayWith better DR
Cost per hour of outage
Outage duration
Cost of one incident
Expected annual loss
Annual DR cost
Net effect of better DR per year
Probability threshold at which DR pays off

The columns compare the expected annual loss today with the loss under better DR plus the annual DR cost.

Summary

Recommendations

All default values are assumptions, not an offer. The calculation is simplified: it does not account for the actual structure of your data, simultaneous restores of several groups, network and licence limits, or immutability requirements across the whole backup chain. For an accurate estimate, use data from your own environment and the results of restore tests.

The calculation runs in your browser. Your answers are only sent if you submit the contact form below.

RPO and RTO: how much data and how much time you can afford

Every backup and disaster recovery (DR) plan starts with two numbers. RPO (Recovery Point Objective) is the maximum amount of data you can afford to lose, measured in time. If the RPO is 4 hours and the system fails at 3 p.m., you must have a restore point from 11 a.m. at the latest. RTO (Recovery Time Objective) is the time within which a system must be running again after an incident.

RPO therefore sets how often you back up or replicate, and RTO how you recover: with a classic restore from a copy, by starting a virtual machine straight from the backup (Instant Recovery), or by failing over to a replica in a second data centre. Both numbers must be set by the business, because the answer to the question "what does an hour of downtime cost us?" is a business answer, not a technical one.

System groupExampleTypical RPOTypical RTOUsual approach
CriticalERP, online shop, production systems, identities15 min to 1 h1–4 hReplication or CDP plus backups
ImportantEmail, file servers, CRM4–12 h8–24 hSeveral backups a day, instant recovery
OtherArchives, development and test environments24 h72 h or moreDaily backups

The values in the table are only a starting point. Shorter RPO and RTO mean higher cost, so sort systems into groups and do not set the same targets for all. To check how quickly you could restore each group and whether your backup frequency is enough, use the calculator on this page.

The 3-2-1-1-0 rule

The classic 3-2-1 rule calls for three copies of your data on two different media, one of them at another location. Because ransomware now attacks backups first, the rule has been extended to 3-2-1-1-0.

NumberRequirementWhat it protects against
3At least three copies of data (production and two backups)Failure of a single copy
2Two different types of media or storageA fault or failure of one type of storage
1One copy at another location (offsite)Fire, flood, loss of a site
1One copy immutable or physically separatedRansomware, a malicious administrator, deletion errors
0Zero errors in automated verification and restore testsCopies from which restore does not work

Every additional copy needs space. How much you need depends on the amount of data, the daily change rate, retention and the compression ratio. The calculator estimates the space for one copy and for all copies together.

Immutable and separated copies against ransomware

An attacker who gains administrator access to the domain usually looks for the backup server first and deletes or encrypts the copies. Only then do they start encrypting production. If you have no copy they cannot destroy, you are left with paying a ransom or rebuilding your systems from scratch.

  • Immutable copies. For a set period they cannot be changed or deleted, even with administrator rights. They can be implemented with a hardened Linux repository, object storage with object locking (S3 Object Lock) or with a service provider.
  • Physically separated copies (air gap). Copies on tape or disconnected media that cannot be reached over the network.
  • Separate credentials. The backup system should not sit in the production domain, and access to it should be protected with multi-factor authentication (MFA).
  • A long enough immutability period. Attackers are often in the network for days or weeks before they reveal themselves. The immutability period should therefore cover at least the daily retention.

For more on preparing for an attack and the first hours after it, read the guide cyber attack: readiness assessment.

Backup, replication and disaster recovery

The terms are often mixed up, but they cover different needs. Backup keeps a history of restore points and lets you return to the state before an error, deletion or attack. Replication maintains a near-live copy of the system at another location, so it allows a short RPO and RTO, but it also quickly carries errors and encryption over to the copy. Continuous data protection (CDP) reduces the RPO to a few seconds.

Disaster recovery (DR) is not a technology but a plan: which systems are restored first, where they will run, who decides on the failover, how the network is redirected and how users connect. A good DR plan for critical systems combines replication for a fast failover with immutable backups for the case where the replica is infected too.

Whether a higher DR level pays off is a business decision. The calculator works out the cost of an hour of downtime and the expected annual loss and compares them with the annual cost of a better DR level. If you are also thinking about replacing servers or moving to the cloud, see the calculator buy, lease or cloud.

Testing restores

A backup you have not tested a restore from is only an assumption. In incidents it often turns out that the copies did not contain all the data, that the restore takes several times longer than expected, or that passwords, licences and documentation are missing.

  • Automated verification. Software such as Veeam can check the integrity of copies with every job and start a virtual machine in an isolated environment to check that services respond.
  • Regular restore tests. Restore whole critical systems at least quarterly and measure the actual time. Compare the result with the target RTO.
  • An annual DR exercise. At least once a year, test the whole plan, including the restore order, network, identities and communication.
  • Documentation. Restore instructions, contacts and credentials must be reachable even when production systems are down.

When estimating RTO, remember that recovery does not start at the moment of the outage. Before that, the incident has to be detected, a decision made and the environment prepared. With ransomware you first need to find a clean restore point, which can take longer than the data transfer itself.

Cloud and offsite copy: Veeam Cloud Connect

For many companies the second location is the biggest obstacle to the 3-2-1 rule. A second data centre of your own means hardware, space, links and maintenance. The alternative is an offsite copy with a service provider.

Veeam Cloud Connect lets an existing Veeam Backup & Replication installation send backups or replicas to a provider's data centre over an encrypted connection. The copies can be immutable, and the provider keeps them separate from your domain, so they meet both the requirement for a second location and for an immutable copy. With cloud replicas, in a disaster you can start critical systems right in the provider's data centre.

When choosing a provider, check the location of the data centre and GDPR compliance, the data centre tier (for example TIER III), the link speed for the initial transfer and restore, the immutability period and restore support. With large volumes of data, restoring from the cloud can be slower than a local restore, so include the restore speed from the offsite copy in your RTO estimate.

Humanfrog is a Veeam Silver Cloud Service Provider with TIER III data centres in Slovenia. We provide backup as a service, offsite and immutable copies, replication and disaster recovery planning.

Backup and DR checklist

  1. Inventory your systems and sort them into groups by importance to the business.
  2. For each group, agree RPO and RTO and the cost of an hour of downtime with management.
  3. Check that backup frequency meets the RPO; for an RPO under one hour, use replication or CDP.
  4. Ensure three copies on two media, one at another location and one immutable.
  5. Separate the backup system from the production domain and protect it with MFA.
  6. Estimate the space for all copies and retention and allow a reserve for growth.
  7. Define the restore order: identities, network, critical applications, communication.
  8. Verify copies automatically and test the restore of critical systems at least quarterly.
  9. Run a DR exercise at least once a year and update the documentation.

If you want to check the results of the calculator with an expert, or need an offsite and immutable copy in a data centre in Slovenia, get in touch.

Frequently asked questions

What is the difference between RPO and RTO?
RPO (Recovery Point Objective) is the maximum amount of data you can afford to lose, measured in time: with an RPO of 4 hours you need a restore point at least every 4 hours. RTO (Recovery Time Objective) is the time within which a system must be running again after an incident. RPO sets the frequency of backup or replication, and RTO the method and speed of recovery.
What is the 3-2-1-1-0 rule?
Keep at least three copies of your data on two different types of media, one copy at another location, one copy immutable or physically separated (offline, air gap) and zero errors in automated verification and restore tests. The rule extends the classic 3-2-1 rule with protection against ransomware.
What are immutable backups?
These are copies that cannot be changed or deleted for a set period, even with administrator rights. They can be implemented, for example, with a hardened Linux repository, object storage with object locking (S3 Object Lock) or with a cloud service provider. An attacker who takes over the production domain cannot destroy such copies.
Does replication replace backup?
No. Replication maintains a copy of the system at another location and allows a very short RTO, but it also quickly carries errors, deletion or encryption over to the copy. Backups keep a history of restore points, so you can return to the state before the incident. For critical systems you need both.
How often should we test restores?
Automated verification of backups should run with every job. Test the restore of whole critical systems at least quarterly, and the entire disaster recovery plan at least once a year and after every major change to the environment. In the test, measure the actual restore time and compare it with the target RTO.
What is Veeam Cloud Connect?
Veeam Cloud Connect is a technology that lets a company with an existing Veeam installation send backups or replicas to a service provider's data centre. This gives you an offsite copy without a second site of your own. Humanfrog is a Veeam Silver Cloud Service Provider with TIER III data centres in Slovenia.
How much storage do we need for backups?
It depends on the amount of data, the daily change rate, retention, the compression ratio and the number of copies. With daily, weekly and monthly restore points, one copy often takes 1.5 to 3 times the protected data, and each additional copy takes that much again. Calculate an estimate for your environment with the calculator on this page.