Total monthly payroll incl. contributions. The Payroll Cost Calculator takes total gross salaries per month, wages subject to provident fund, employer pf contribution, wages subject to esi (or social insurance), employer esi contribution, other employer costs (insurance, gratuity provision, bonus) and returns total monthly payroll cost plus employer statutory contributions, cost above gross salaries, annual payroll cost. Results update as you type, and the formula is shown under the result so you can repeat it in your own spreadsheet.
Payroll figures should follow the rules in your contracts and local law. Where a rule differs between states or countries, adjust the inputs; the calculator shows its assumptions so you can check them against your own policy. Use the worked example below to check the maths against your own figures.
How the Payroll Cost Calculator works
What a payroll really costs is the gross pay plus everything the employer contributes on top. In India that is 12% PF on PF wages and 3.25% ESI for employees under the ESI wage ceiling; elsewhere substitute your social-security rates.
Worked example
With the example values (total gross salaries per month of $400,000, wages subject to provident fund of $150,000, employer pf contribution of 12%, wages subject to esi (or social insurance) of $80,000, employer esi contribution of 3.25%, other employer costs (insurance, gratuity provision, bonus) of $20,000), the total monthly payroll cost is $440,600.00; employer statutory contributions $20,600.00, cost above gross salaries 10.15%, annual payroll cost $5,287,200.00. Change any figure above and the result updates immediately; use Copy results to paste the summary into a note or email.
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Frequently Asked Questions
How is total monthly payroll cost calculated?
payroll cost = gross salaries + employer PF + employer ESI + other employer costs.
Which figures do I need?
Total gross salaries per month, wages subject to provident fund, employer pf contribution, wages subject to esi (or social insurance), employer esi contribution, other employer costs (insurance, gratuity provision, bonus). Take them from the same period and the same set of accounts or reports so the ratio is consistent, and check the example values as a guide to the units expected.
Do the rules differ by location?
Yes. Statutory rates, ceilings and eligibility conditions vary by country and often by state. Adjust the inputs to your jurisdiction and confirm with your payroll provider or labour law adviser.
