Free Employee Cost Calculator
Calculate the total cost of an employee from gross salary (RAL). Includes social contributions, severance pay, and IRAP.
How It Works
Enter the gross annual salary and the tool calculates the true cost of employment including social contributions, insurance, benefits, and overhead. See the monthly and hourly breakdown to understand what each employee actually costs your business beyond their paycheck.
When to Use It
- Hiring decisions — know the full cost before making an offer to ensure the position fits your budget.
- Freelancer vs employee comparison — calculate whether hiring full-time is more cost-effective than outsourcing.
- Annual budgeting — project total personnel costs across your team for the upcoming fiscal year.
Frequently Asked Questions
Which country's contribution rates does it use?
The calculator uses approximate Italian contribution rates as a baseline. Adjust the percentage fields to match your country's specific social security and insurance rates.
Does it include benefits like health insurance?
Yes. The tool includes fields for insurance, benefits, and other overhead costs that factor into the total employment cost.
How is the hourly cost calculated?
Total annual cost is divided by the number of working hours per year (typically 1,760-2,080 depending on holidays and vacation days in your country).
All calculations happen in your browser. No data is sent to any server.