Background: The use of patient's own drugs and one-stop dispensing can reduce the risk of medication misadventure by refocusing pharmacy services from distributive functions to improving patient clinical review from admission to discharge. Changing practice to adopt these programs will contribute towards greater compliance with accepted standards of practice for appropriate, safe and effective use of medicines. Aim: To estimate the cost savings associated with patient's own drugs and one-stop dispensing using the Pharmaceutical Benefits Scheme. Method: Patient's own drugs use and hospital-initiated drugs were recorded on 4 wards over a 26 day period and the costs determined. Results: Use of patient's own drugs on the 4 wards resulted in estimated annual savings of 9.92% (percentage of total hospital drug expenditure). Conclusion: Patient's own drugs and one-stop dispensing can improve the continuity of care, quality use of medicines, and result in significant cost savings. J Pharm Pract Res 2008; 38: 44-6.