Toolsmith Software · Free tools

The true cost of a hire

A salary is only part of what an employee costs you. This adds employer's National Insurance and pension on top, so you can see the real annual and monthly figure before you commit. UK figures, 2026/27.

Gross annual salary

Employer pension (%) min 3%

Other costs per year (equipment, software, training)

Pension on qualifying earnings band (£6,240–£50,270) — the legal minimum basis

Claim Employment Allowance (offsets up to £10,500 of employer NI — most small employers qualify)

Total cost to employ, per year

£0

Gross salary£0

Employer's NI (15% over £5,000)£0

Employer pension£0

Other costs£0

On-cost over salary0%

Roughly per month£0

Estimate only, using 2026/27 figures. Employer's (secondary) Class 1 NI is 15% on pay above the £5,000 secondary threshold. Auto-enrolment pension minimum is 3% of qualifying earnings between £6,240 and £50,270. Employment Allowance eligibility has conditions — check gov.uk. Excludes apprenticeship levy, benefits and holiday cover.

Built by Toolsmith Software — before you hire for a repetitive job, it's worth asking whether a tool could do it for a fraction of this. Ask us.