Employment cost calculator

An employment cost calculation includes both employee deductions and employer contributions required by local law. This typically covers mandatory employee deductions, such as income tax and social security contributions, and all statutory employer costs (pensions, healthcare, unemployment funds, and more). The result shows the employee’s estimated net pay and the employer’s total employment cost, giving you a complete view of what hiring actually costs in that country.

Employers usually make several mandatory contributions in addition to gross salary. These vary by country but commonly include social security contributions, unemployment insurance, pension or solidarity funds, professional training levies, work accident insurance, and other statutory charges. These costs are required by law and are a significant part of total employment costs in some countries.

Employee deductions typically include income tax, employee social security contributions, and country-specific levies such as solidarity or pension contributions. These deductions are applied before net pay is calculated and vary depending on local tax brackets, contribution caps, and individual circumstances.

No. The calculator shows statutory employment costs and employee contributions only. Employer of Record fees are not included, as they depend on your specific setup, countries of interest, and level of support required. You can speak with a Boundless expert to understand how these fees would apply to your scenario.

Employment costs vary because each country sets its own tax rates, social security mandates, contribution caps, and mandatory employer obligations. Some countries place a higher cost burden on employers, while others rely more heavily on employee deductions or general taxation. The calculator reflects these country-specific differences.

The calculator provides indicative estimates based on standard assumptions and current legislation. Final costs may vary due to individual employee circumstances, changes in tax law, contribution caps, or local authority requirements.