Cost per Hire Calculator
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Quick Guide to Use the Cost per Hire Calculator
- Select Currency: Choose your preferred currency from the dropdown menu.
- Input External Costs: You can enter the total external costs directly or click on the breakdowns of external costs button. You will get more options to input the various external costs associated with hiring, such as advertising, background checks, relocation fees, etc.
- Input Internal Costs: You can enter the total internal costs directly or click on the breakdowns of internal costs button. You will get more options to input the internal costs related to hiring, including recruiting expenses, training, office costs, etc.
- Number of Hires: Specify the total number of hires you’re considering.
- Calculate: Click on the “Calculate” button to determine the cost per hire.
- Reset: To start over, click on the “Reset” button.
Formula
Cost per hire = (Total External costs + total internal costs) / Number of Hires
Input Field Details
- Total External Costs: Sum of various external expenses associated with hiring.
- Total Internal Costs: Total internal expenses related to the hiring process.
- Number of Hires: Total number of hires under consideration.
What is the Cost per Hire Calculator?
The Cost per Hire Calculator is a tool designed to help businesses estimate the total cost incurred for each new hire they make. It considers both external and internal expenses associated with the recruitment process.
Who Can Use This Calculator?
This calculator can be used by HR professionals, hiring managers, business owners, recruiters, and anyone involved in the hiring process within organizations of any size.
Which Industries Can Use This Calculator?
All industries that engage in recruitment can benefit from this calculator, including but not limited to technology, healthcare, finance, retail, manufacturing, and service sectors.
Benefits of Using This Calculator
- Accurately assess the financial impact of hiring.
- Understand the breakdown of costs involved in the recruitment process.
- Make informed decisions regarding budget allocation for hiring needs.
- Optimize recruitment strategies to minimize costs and improve efficiency.
FAQs
What if I don’t have exact values for all cost categories?
You can estimate as accurately as possible or leave fields blank if certain costs don’t apply to your situation.
Can I use this calculator for multiple hires at once?
Yes, simply adjust the “Number of Hires” field to reflect the total hires you’re considering.
Conclusion
The Cost Per Hire Calculator is a valuable tool for businesses to understand and manage the financial aspects of their recruitment process effectively.
By accurately estimating the cost per hire, organizations can make informed decisions to optimize their hiring strategies and budget allocation.
