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Labor Cost Calculator
Find the true cost of each employee — including taxes, benefits, and overhead — so you can price jobs accurately and stay profitable.
Base Pay
Payroll Taxes (%)
Benefits
Per-Employee Overhead ($/yr)
Enter an hourly rate to see the full cost breakdown
Track Labor Costs Automatically
Fieldbookly tracks technician hours, calculates labor costs per job, and shows you real profitability.
GPS time tracking
Cost-per-job reports
Overtime alerts
Payroll-ready exports
Labor Burden Benchmarks
HVAC Technician1.25 – 1.40x
Licensed Plumber1.30 – 1.45x
Electrician1.25 – 1.40x
General Laborer1.15 – 1.25x
Cleaning Staff1.12 – 1.20x
Landscaping Crew1.15 – 1.30x
Frequently Asked Questions
What is the true cost of an employee?
The true cost is the total amount you spend beyond their base wage — including payroll taxes (Social Security, Medicare, unemployment), benefits (health insurance, PTO, retirement), and overhead (vehicle, tools, training). For most service businesses, the true cost is 1.2x to 1.5x the employee's base wage.
What is a labor burden multiplier?
The labor burden multiplier is the ratio of total employee cost to base wages. A multiplier of 1.35x means for every $1 you pay in wages, you actually spend $1.35. Use this multiplier when pricing jobs to ensure you cover the full cost of labor.
How do I include labor cost in my job pricing?
Multiply the employee's fully burdened hourly rate (from this calculator) by the estimated hours for the job. This becomes your labor cost for the job. Then add materials, overhead, and profit margin to get your total job price.
Should I include vehicle costs in labor burden?
Yes — if you provide a company vehicle, that cost should be allocated per employee. Include fuel, insurance, maintenance, and depreciation. For a typical service van, budget $5,000-$10,000 per year per vehicle.