Free Contractor Labor Burden Calculator
Estimate what a crew actually costs after payroll burden instead of pricing labor from hourly wage alone.
Loaded Labor Cost Calculator
What is labor burden?
Labor burden represents employer costs above base wages. Depending on the business, it may include payroll taxes, workers compensation, insurance, paid time, benefits, and other employment costs.
Using only the employee's hourly wage can substantially understate the actual cost of putting a crew on a job.
Use loaded labor in estimates
A practical estimate should use the cost of the entire crew for the expected production time. Then add equipment, material, overhead, and profit separately so the selling price reflects the real operation.
FAQ
What percentage should I use for labor burden?
There is no universal percentage. Use your actual payroll taxes, insurance, benefits, paid time, and other employee costs.
Does labor burden include company profit?
No. Labor burden is part of labor cost. Profit should be added after costs and overhead are understood.
Should travel time be included?
If employees are paid for travel related to the job, that paid time should normally be considered in the estimate.
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