Cost Per Hire Calculator

Hiring and training new employees can be a huge cost for employers.
Use this calculator to determine your average cost per hire. Knowing your current
cost per hire can help you better budget for both hiring and retention programs.

Step 1. Out of Pocket Costs

All fields are required unless marked optional.

Cost of posting a job description

Fee for third-party recruiter or internal referral

Cost of assessment test

Cost of background check

Cost of new hire materials and supplies

Step 2. Employee Time

Round hours to nearest whole number. All fields are required unless marked optional.

Average employee hourly wage

Number of hours spent reviewing applications

Number of hours spent conducting phone screenings

Number of hours spent interviewing applicants

Number of hours spent checking references

Number of hours spent administering onboarding process

Total Cost per Hire

This estimate includes both out of pocket hiring costs and the value of employee time spent on hiring and onboarding.

$0.00

Total cost per hire*

Out of Pocket Subtotal $0.00

Employee Time Subtotal $0.00

Total hours spent per hire 0

Average hourly wage $0.00

*While the average for cost per hire varies greatly based on the industry and organization size, most benchmarking reports list cost per hire as being somewhere between $3,000 and $5,000 per new employee.

Tips For Reducing Cost Per Hire:

Cast a wide advertising net so you get many qualified applicants at once.
Whenever possible, hire and train multiple employees at a time.
Streamline your onboarding process so you’re not reinventing the wheel each time.
Offer the kind of culture and benefits that will make employees want to stay.