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New Hire Cost Calculator

Estimates full recruitment and onboarding costs for a new employee including training

Annual base salary for the new hire

Recruiting fees, job postings, and hiring costs

Number of weeks for onboarding training

Hourly cost of trainer time, materials, and resources

Equipment, software licenses, workspace setup, etc.

Total Recruiting Cost

Enter salary and recruiting percentage to calculate

Total Training Cost

Enter training weeks and hourly cost to calculate

Total Onboarding Cost

Enter onboarding expenses to calculate

Grand Total Cost per Hire

Enter all required fields to see total cost per hire

Frequently Asked Questions

What is the average cost to hire a new employee?

According to SHRM, the average cost-per-hire is around $4,700, but total costs including training and lost productivity can reach 3-4x the position's salary. For executive roles, the cost can exceed $28,000 in direct recruiting expenses alone.

What costs are included in a new hire?

Direct costs include job postings, recruiter fees (15-25% of salary), background checks, and relocation. Indirect costs include interviewer time, onboarding, training, equipment, reduced productivity during ramp-up, and HR administration time.

How long does it take for a new hire to reach full productivity?

Most studies show it takes 6-12 months for a new hire to reach full productivity. During this ramp-up period, companies experience reduced output. For complex roles like software engineering or senior management, full productivity may take 12-18 months.