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True Cost of an Employee Calculator (Australia)

A salary is never the real cost. See the fully loaded figure once super, payroll tax, and on-costs land.

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Fully loaded annual cost
 
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What is the true cost of an employee in Australia?

Beyond base salary, employers pay superannuation (12% from 1 July 2025), state payroll tax, workers' compensation, and leave entitlements. These mandatory on-costs typically add around 25% to 40% on top of salary, and recruitment, training, and equipment push the total higher again.

Where Compono fits

When a role costs this much fully loaded, getting the hire right matters more than getting it fast. A mis-hire does not just cost a salary, it costs the loaded figure plus the cost of doing it all again. Compono Hire runs the process side every ATS runs, then adds the culture-fit and behavioural data that lifts the odds the person you pay for is the person who stays.

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How it's calculated

We start with base salary, add superannuation at 12% (the rate from 1 July 2025), then layer on payroll tax for your state, a workers' compensation estimate for your industry, leave provisions, and the usual overheads of recruitment, training, and equipment. The defaults reflect current Australian rates and you can override any of them.

New to the term? Read the plain-English definition of the superannuation guarantee in the HR Glossary.

Common questions

How do you calculate the fully loaded cost of an employee?

Take the base salary and add: superannuation at 12%, payroll tax at your state's rate, a workers' compensation premium for your industry, the value of annual, sick, and long service leave, and overheads such as recruitment, onboarding, software, and equipment.

How much is superannuation in 2026?

The superannuation guarantee rate is 12% of ordinary time earnings, which has applied since 1 July 2025 and is the final step in the legislated phase-up.

Does payroll tax change the cost of an employee?

Yes. Payroll tax is a state-based tax that applies once your total wages cross a threshold, with rates of roughly 4.75% to 6.85% depending on the state. It adds directly to the cost of each employee above that threshold.

This page is general information, not legal advice. We check figures annually and update them on a best-efforts basis, but employment rules change and we cannot promise everything here is current or complete. Before you act on it, confirm the detail with the Fair Work Ombudsman or your own adviser. Last reviewed July 2026.