True Cost of an Employee Calculator
Salary is just the starting point. See the real, all-in cost of a US hire — FICA, FUTA, and typical overhead — before you extend an offer.
Enter Your Numbers
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Enter a salary and click Calculate to see the true cost.
What's Included in "True Cost"
Beyond the salary itself, a US employer is responsible for:
| Cost | Rate |
|---|---|
| FICA (Social Security + Medicare), employer share | 7.65% of wages |
| FUTA (federal unemployment), effective rate | ~0.6% on first $7,000 |
| State unemployment insurance (SUTA) | Varies by state, typically 2-6% |
| Benefits, equipment, software, workers' comp | Typically 10-20% (adjustable above) |
Put together, most US employers see total overhead of 22-30% above gross salary. This calculator uses the fixed federal rates (FICA + FUTA) plus your custom overhead percentage for benefits and everything else, since that portion varies significantly by state and by what benefits you actually offer.
Planning your first finance hire? Read our full guide on who to hire, when, and what to pay, or the complete US payroll processing guide.
Not sure if you need a full hire yet?
We help founders figure out exactly when to outsource vs. hire — and set up payroll correctly either way.
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