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Calculator Level 8

Hire ROI Calculator

Calculate whether a new hire will actually pay for themselves, and how long it will take.


Section 1
Current Cost of Doing It Yourself

Figure out what this work is actually costing you right now. Multiply the hours you spend on these tasks each week by your effective hourly rate (your annual revenue divided by the hours you actually work).

Section 2
Hire Cost (Salary + Overhead)

Calculate the full cost of the hire. Do not just look at salary. Include taxes, benefits, tools, equipment, and management time. For contractors, include their rate and the hours you expect them to work.

Section 3
Revenue Freed Up

This is the real question. What will you do with the time you get back? Be specific and realistic. Only count revenue you can actually generate, not theoretical upside.

Section 4
Breakeven Timeline

How long until the hire pays for themselves? Divide the total hire cost by the net monthly gain (revenue freed minus hire cost per month).

Section 5
ROI Projection

Pull it all together. What is the 12-month picture? Write a clear summary of the financial case for or against this hire. Include the numbers, your confidence level, and any assumptions you are making.

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