Staffing Contract profitability Calculator
Is offering a temporary staffing contract a good idea?
This helpful calculator is designed to help you accurately assess the profitability of a staffing contract. By evaluating critical financial metrics, you will have all the information you need to determine if offering a staffing contract is a good idea.
With this tool, you can estimate the ideal bill rates to cover expenses and generate a profit. It will give you a clear understanding of whether your contract will be profitable and, if so, how much. Enjoy using it!
Input Required
Contract Length (months): The duration of the staffing contract in months.
Contract Total Hours: The total number of hours the temporary staff will work over the contract period.
Bill Rate ($/hour): The rate charged to the client per hour of work the temporary worker performs.
Pay Rate ($/hour): The hourly wage paid to the temporary worker.
Direct Costs Burden Rate (%): This is the percentage of additional direct costs associated with employing the temporary worker, including payroll taxes, benefits, and other statutory expenses. You can calculate your business direct cost burden rate here.
Overhead Costs ($/month): Monthly expenses necessary for running the business but not directly tied to the provision of services. Here’s a tool to estimate your company’s overhead costs.
Total Hours Billed to Other Contracts per Month: The total monthly hours billed to other contracts.
Staffing Contract Profitability Calculator
With just a few simple steps, your staffing company can quickly determine the potential profitability of any contract. You can gain a clear and comprehensive understanding that will empower you to make informed business decisions.
