How to use this calculator
- Enter the workforce, hours, rate, and cost assumptions that apply to the estimate.
- Confirm every amount uses the same pay period or annual basis.
- Review the calculated cost components and total.
- Compare the estimate with payroll records, contracts, and accounting data before relying on it.
Input guide
Employees
Enter the employees used for this planning scenario and verify its unit and period.
Regular hours per employee
Enter the regular hours per employee used for this planning scenario and verify its unit and period.
Overtime hours per employee
Enter the overtime hours per employee used for this planning scenario and verify its unit and period.
Hourly rate
Enter the hourly rate used for this planning scenario and verify its unit and period.
Overtime multiplier
Enter the overtime multiplier used for this planning scenario and verify its unit and period.
Employer burden
Enter the employer burden used for this planning scenario and verify its unit and period.
How this calculator works
Total payroll cost = regular wages + overtime wages + employer burden.
Worked example
Five employees working 40 regular and 5 overtime hours at $25 with 20% burden cost an estimated $7,125.
How to interpret the result
Use the payroll cost result as an operational planning estimate. Review the component costs, not only the total, and replace assumptions with current business records whenever possible.
Rounding policy
Currency
Money values are rounded to the nearest cent.
Assumptions and limitations
- All workers use the same entered rate and hours.
- Burden is entered as a planning percentage.
Frequently asked questions
Does this calculate payroll taxes?
No. Enter a combined employer burden estimate based on your records.
Is overtime eligibility determined here?
No. The calculator applies the multiplier you enter.
How should I verify the payroll cost result?
Compare each input with payroll reports, benefits invoices, insurance records, contracts, and accounting allocations.
Are values from the Payroll Cost Calculator uploaded?
No. The calculation runs in the browser and does not require uploading the entered values.