Cost of hiring calculator

See what a new employee costs your business in a year: pay and loadings, super, workers compensation, payroll tax and the cost of hiring and setting them up.

Figures checked 5 November 2026. Free to use, no sign-in.

The role

Employment type
$

Base pay for a year, before super.

hours
%

Set by the award or agreement. Enter 0 if none applies.

days

Public holidays in your state that fall on this person’s usual work days.

Your business

$

Australian wages including super, before this hire. Used for payroll tax.

%

The premium rate on your policy, as a % of wages.

Hiring and set-up

$

Advertising, agency fees and interview time.

years

Recruitment is spread over this period.

$
$

Your estimate

Estimated total cost a year

$102,940

1.21× the salary, or 21.1% on top.

Per week
$1,980
Per paid hour
$52.10
Per hour worked
$61.57
Salary or wages
$85,000.00
Annual leave loading
$1,144.23
Super guarantee (12%)
$10,337.31
Workers compensation
$1,292.16
Payroll tax
$0.00
Recruitment (spread over tenure)
$1,666.67
Training and onboarding
$2,000.00
Equipment and software
$1,500.00
Total a year
$102,940.37
  • Super is 12% of pay and leave loading. Payroll tax is the extra tax this hire adds to your current payroll under NSW’s 2026–27 rules.
  • Cost per hour worked assumes all 4 weeks of annual leave, 10 days of personal leave and 10 public holidays are taken.
  • Not included: overtime, penalty rates, allowances, long service leave, redundancy, salary increases and office space.

An estimate for planning, not legal, tax or financial advice. Check the award or agreement that applies.

How this works

The calculator adds up the costs an employer pays for one employee over a year, using 2026–27 rates.

  • Pay and loadings: the salary or wages you enter, plus annual leave loading (permanent staff: the loading % on 4 weeks’ pay) or casual loading.
  • Super guarantee: 12% of pay and loadings, up to the 2026–27 maximum contribution base of $270,830.
  • Workers compensation: your premium rate applied to pay and loadings.
  • Payroll tax: the payroll tax on your payroll with this hire, less the payroll tax without it, using the rules in the payroll tax calculator. Payroll tax wages include super.
  • Hiring and set-up: recruitment spread over the expected tenure, plus yearly training and equipment.

The cost per hour worked divides the total by the hours left after paid leave: 4 weeks of annual leave and 10 days of personal/carer’s leave under the National Employment Standards, plus the public holidays you enter.

Not included: overtime, penalty rates and allowances, long service leave, notice and redundancy pay, pay rises during the year and office costs.

Legal basis

Checked against these sources on 5 November 2026. Spotted a figure that looks wrong? Tell us.

Questions

How much more than salary does an employee cost?

Super alone adds 12% of pay (the rate since 1 July 2025). Leave loading, workers compensation, payroll tax once you pass your state’s threshold, and the cost of recruiting and equipping someone all add more. Enter your own figures to see your number.

Is super paid on annual leave loading?

Usually, yes. The ATO treats annual leave loading as ordinary time earnings, and so as qualifying earnings for super, unless the loading is clearly linked to a lost opportunity to work overtime. The calculator includes super on the loading.

Why does one hire change my payroll tax so much?

In states where the deduction tapers (Victoria, Queensland, Western Australia, South Australia and the Northern Territory), extra wages also shrink your deduction, so the tax on a new hire can be well above the headline rate. The calculator works out the difference your hire makes to your total payroll tax.

Where do I find my workers compensation rate?

On your policy or premium notice from your state scheme or insurer. Rates depend on your industry classification, your wages and your claims history, so use your own rate rather than an average.

Do casual employees cost less?

Not always. Casuals are paid a loading instead of paid leave, so you pay only for hours worked, but super, workers compensation and payroll tax are calculated on the loaded pay.

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Questions the calculator can’t answer?

Workfloor answers pay, award, leave and termination questions for your team, with the Fair Work Act section or award clause behind each answer.

See plans