Scotsman

iTrader: (3)

If someone is getting paid £70k a year - what would the total cost to the company be?

Apart from employers NI contribution, is there anything else (excluding pension, car allowance, office space allocation, etc).

tia
Richard.

Chris L

Depends how you calculate it - a bank that I worked for years ago even worked out the cost of floor space, desk etc. I think the waste paper basket cost £600 a year

Paul3446

I seem to remember that the true cost is about double the salary, but that was taking into account things like electricity and providing a PC as well.

kend

When we hire new staff we look at an on cost of about a 3rd of salary.
In terms of salary it's just employers NI (14%) and employers pension contributions - which vary depending on the pension scheme.

PeteBrant

Yup certainly the labour cost and overhead cost were almost identical when I used to look at the cost to project of a given employee. In fact, the overhead cost was higher for lower paid staff.

SJ_Skyline

Double salary is a good rule of thumb

Scotsman

iTrader: (3)

Great - thanks guys

Trout

iTrader: (1)

I have done a lot of work in this over the years and many locations in the UK and average on costs are 40% over and above salary and bonus.

Double is very steep - clearly those with Mayfair addresses or very low paid staff!

Varboy

sounds bad until you compare it against your client hourly rate if you are in a billable role. then you realise you're not a cost but a pure money making machine!