Below we do example calculations of what a payroll employee actually costs per hour.
Variables we included will vary, but roughly, these figures is what it comes down to.
Having estimated the actual total costs of an employee, we calculate how many hours an employee actually works, finally giving us the estimated hourly costs.
Having this figure available makes it easier to estimate if outsourcing to a 'pay per hour' would compare OK financially.
After building the figures also a rule of thumb appears, making it easier in day to day life to roughly do a manual conversion of gross salary versus hourly costs. We divide the gross monthly salary by 100 and add 1/3 to it. Giving the hourly equivalent.
For instance, a gross Dutch salary of € 4.500 euro's per month would roughly mean an hourly cost of € 60,- euro's for that employee.
Find some calculations and comparisons below!