Background. Managed care and the increasing percentage of surgical procedures performed in the elderly have renewed the focus on hospital charges and expenditures. The objective of this study was to determine whether septuagenarians and octogenarians accrue more hospital or have a higher risk of morbidity and death. Methods. We retrospectively reviewed the charges and pertinent clinical outcomes data that were available on 70 of the last 100 pancreatoduodenectomies performed at our institution (1989 to 1994). Charges from four cost centers were analyzed and normalized to 1995 dollars by using the Consumer Price Index and Wilcoxon rank sum test. Patients were divided into two groups; group 1, 70 years of age or older (n = 21); group 2, younger than 70 years of age (n = 49). Results. Anesthetic charges were $2657 ± $835 for group 1 versus $2815 ± $286 for group 2, which was not a statistically significant difference. Laboratory charges were $4650 ± $3284 for group 1 versus $5969 ± $5169 for group 2, which was not a significant different. Pharmaceutical charges were $5424 ± $4435 for group 1 versus $9243 ± $9695 for group 2, which was not a significant difference. Charges for operative units were $6198 ± $1671 for group 1 versus $7469 ± $2116 for group 2, p < 0.02. Total charges were $41.180 ± $20,635 for group 1 versus $50,968 ± $33,783 for group 2, which was not a significant difference. No difference was noted in morbidity, mortality, length of stay, or survival. Conclusions. Pancreatoduodenectomy is the elderly can be performed safely without accruing higher cost, increased morbidity, or increased mortality.