Employee Cost Calculator
Fully Loaded Labor Costs
Output Benchmarks
How to use this Employee Cost Calculator
Input Data
Enter your current HR metrics into the labeled fields above.
Analyze Ratios
Instantly view efficiency ratios calculated against elite standards.
Optimize
Compare your results with the Benchmarks on the right to find leverage points.
Strategic Context
THE STRATEGIC VIEW
YOU ARE THE BOTTLENECK
If your business requires a "genius" to run it, you don't have a business; you have an expensive, high-stress job.
The Conflict: Most founders pride themselves on being "irreplaceable." This is ego speaking. If you are irreplaceable, you are a hostage.
The Fix: Build a system that produces a predictable result even if a "mediocre" person is at the controls. You are the architect, not the bricklayer.
Operational Reality
THE "BURDENED" RATE
The salary you agree to ($100k) is not what the employee costs you.
You must factor in the "Burden": Payroll Taxes (7-15%), Health Insurance ($500-$1500/mo), Equipment ($3k), and Software Licenses ($500/mo).
Typically, the "True Cost" is 1.3x to 1.5x the Base Salary.
HOURLY LEAKAGE
If you pay an employee $50/hour, but they spend 2 hours/day in meetings and 1 hour on "Admin", their "Effective Productive Rate" is nearly $100/hour.
Use this tool to calculate what you are *actually* paying for productive output vs paying for "attendance".
Tactical FAQ
TACTICAL Q&A
Q: Contractor vs Employee cost?
Q: How to reduce the "Burden"?
Q: What hidden costs am I missing?
Output Benchmarks
Master The System
This calculator is just one tactical step. The full strategy is documented in the core protocol.
Source Lesson
Operations Mastery: HR Protocol