[strayptr]

Does it cost $150k/yr to hire someone you're paying $75k/yr?

I've heard the fully-loaded cost of an employee is about 2x their salary, but I'm interested to know what the fully-loaded cost of a startup employee is. At the minimum, an employer would probably need to pay for health insurance, for example. Even if the benefits aren't very good, the cost is higher than someone's salary.

The article says the cost with overhead is 1.25x, but is that realistic?

[mahyarm]

My simulated metric was something like %133, which another person on payroll said that was pretty accurate. So there isn't hidden information when calculating this stuff.

Think of:

- Health Insurances ($500/mo)?

- The other half of payroll taxes (~%8)

- Food benefits ($10/day in snacks, $15/meal served)

- Office rental & upkeep costs

- 401k program costs (yes, they charge employers for this)

- HR Costs