Net monetary benefit

Net monetary benefit (NMB) is a summary statistic that represents the value of an intervention in monetary terms when a willingness-to-pay threshold for a unit of benefit (e.g. a measure of health outcome or quality-adjusted life year) is known. The use of NMB scales both health outcomes and use of resources to costs, with the result that comparisons without the use of ratios (such as in incremental cost-effectiveness ratios) can be made. NMB is calculated as [(incremental benefit x threshold) – incremental cost].
The NMB is commonly used to calculate the incremental NMB, which is a measure of the difference in NMB between alternative interventions; a positive incremental NMB indicates that the intervention is cost effective compared with the alternative at the given willingness-to-pay threshold.