Rex says
Money math without the spreadsheet headache. Plug in your numbers and I'll show you exactly where the dollars land.
Try a scenario
Click to load — tweak from there.Inputs
Result
Fully loaded annual cost
$111,650
Cost multiplier vs salary (×)
1.31
Effective hourly cost
$53.68
Monthly cost
$9,304
Cost above salary
$26,650
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One click, a permanent link with your numbers baked in.
How to use this
- 1Enter base salary ($).
- 2Enter employer payroll tax (%).
- 3Enter benefits ($/yr).
- 4Enter equipment + software ($/yr).
- 5Enter space + overhead ($/yr).
- 6Read your fully loaded annual cost on the right — it updates as you type.
- 7Hit Share to keep the scenario or send it to someone.
About this calculator
Salary is roughly 70% of what an employee actually costs. Payroll taxes, benefits, equipment, and software make up the rest.
Worked example
Using the values the calculator loads with:
Inputs
- Base salary: 85000 $
- Employer payroll tax: 9 %
- Benefits: 12000 $/yr
- Equipment + software: 3000 $/yr
- Space + overhead: 4000 $/yr
Results
- Fully loaded annual cost: $111,650
- Cost multiplier vs salary (×): 1.31
- Effective hourly cost: $53.68
- Monthly cost: $9,304
- Cost above salary: $26,650
What each field means
Inputs
- Base salary ($)
- The base salary used in the calculation, measured in $. Starts at 85000 $ so you have a working example on load.
- Employer payroll tax (%)
- The employer payroll tax used in the calculation, measured in %. Starts at 9 % so you have a working example on load. Accepted range: 0–30 %.
- Benefits ($/yr)
- The benefits used in the calculation, measured in $/yr. Starts at 12000 $/yr so you have a working example on load.
- Equipment + software ($/yr)
- The equipment + software used in the calculation, measured in $/yr. Starts at 3000 $/yr so you have a working example on load.
- Space + overhead ($/yr)
- The space + overhead used in the calculation, measured in $/yr. Starts at 4000 $/yr so you have a working example on load.
Results
- Fully loaded annual cost
- Returned as a money amount in US dollars and shown as the headline result. It recalculates instantly whenever you change an input, so you can compare scenarios without reloading.
- Cost multiplier vs salary (×)
- Returned as a decimal number. It recalculates instantly whenever you change an input, so you can compare scenarios without reloading.
- Effective hourly cost
- Returned as a money amount in US dollars. It recalculates instantly whenever you change an input, so you can compare scenarios without reloading.
- Monthly cost
- Returned as a money amount in US dollars. It recalculates instantly whenever you change an input, so you can compare scenarios without reloading.
- Cost above salary
- Returned as a money amount in US dollars. It recalculates instantly whenever you change an input, so you can compare scenarios without reloading.
FAQ
How does the true cost of an employee calculator work?
Salary is roughly 70% of what an employee actually costs. Payroll taxes, benefits, equipment, and software make up the rest. The underlying maths is: Total = salary + payroll tax + benefits + overhead
What do I need to enter?
5 values: base salary, employer payroll tax, benefits, equipment + software, and space + overhead. Each field starts with a sensible default, so you can change one number at a time and watch the result move.
What does the fully loaded annual cost result mean?
It is returned as a money amount in US dollars and updates live as you edit the inputs, so you can compare two or three versions of a scenario in a few seconds.
Is this calculator free, and do I need an account?
Yes, it's free, and no account is required. Nothing you type is stored on our servers — the maths runs entirely in your browser.
How accurate is the result?
It applies the standard formula exactly, so the arithmetic is precise. Results are estimates before tax, fees, and inflation unless an input explicitly covers them.
Who is this tool for?
It's built for anyone comparing money scenarios before committing — budgeting a payment, sanity-checking a quote, or seeing what a change in rate or term actually costs.
Accuracy and limitations
- Results are estimates before tax, fees, and inflation unless an input explicitly covers them.
- Rates are treated as fixed for the whole period — variable-rate products will drift from this projection.
- This is educational maths, not financial advice. Check anything contractual with the lender or your accountant.
Cite this calculator
Writing about this topic? Grab a citation — every link helps keep these tools free.
RevenueLab. (2026). True Cost of an Employee Calculator. Retrieved from https://www.revenuelab.fyi/toolbox/employee-true-cost
<p>Source: <a href="https://www.revenuelab.fyi/toolbox/employee-true-cost" target="_blank" rel="noopener">True Cost of an Employee Calculator — RevenueLab</a> (2026).</p>
Source: [True Cost of an Employee Calculator — RevenueLab](https://www.revenuelab.fyi/toolbox/employee-true-cost) (2026).