Find out what an employee really costs, how many
you can afford, and what a raise actually costs.
True employee cost is the total annual expense including salary, payroll taxes, and benefits.
The gap between salary and true cost surprises most first-time employers. A $60,000 salary becomes $75,000+ after payroll taxes, health insurance, and retirement contributions. That 25–40% markup is mandatory. FICA and unemployment taxes aren't optional. This calculator shows the real number so you can budget accurately before making an offer.
State matters more than most business owners realize. An employee in California costs more than the same employee in Texas because of higher state unemployment tax rates. If you're hiring remotely and can choose where to base the position, this is worth understanding.
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