Employee turnover cost calculator
Estimate what replacing the people who left in the last 12 months cost your company, by role, with Gallup’s replacement cost estimates. Add your average headcount to get your turnover rate too.
Free, no sign‑up. It runs in your browser, and nothing you type is stored.
Estimated replacement cost
$0
Add how many people left and their average salary.
- Leaders and managers 0 people
- $0
- Technical roles 0 people
- $0
- Frontline workers 0 people
- $0
- Turnover rate
- Add your headcount
How the estimate is calculated
For each kind of role, the calculator multiplies the people who left by their average annual salary, and by Gallup’s estimate of what replacing one costs as a share of their salary. The total adds up the three.
Replacement cost = people who left × average annual salary × Gallup’s estimate
Turnover rate = people who left in 12 months ÷ average headcount over those 12 months
| Role | Replacing one costs |
|---|---|
| Leaders and managers | around 200% of their salary |
| Technical roles | 80% of their salary |
| Frontline workers | 40% of their salary |
“Gallup estimates that replacing leaders and managers costs around 200% of their salary, replacing employees in technical roles costs 80% of their salary, and replacing frontline workers costs 40% of their salary, excluding unmeasured losses in morale and knowledge.”
For example, replacing an employee in a technical role on a $80,000 salary costs about $64,000.
What it assumes
- Gallup’s percentages are estimates for each kind of role, not your company’s own costs.
- They exclude “unmeasured losses in morale and knowledge,” in Gallup’s words.
- Everyone who left is counted as replaced, at their group’s average salary.
- The turnover rate counts everyone who left, whatever the reason, against your average headcount.
What recognition has to do with it
The estimate above is what turnover cost you. Why people leave differs from team to team, but recognition is one thing HR can work on every week. Gallup and Workhuman tracked the career paths of nearly 3,500 employees:
“Longitudinal data from 2022 to 2024 show that well-recognized employees are 45% less likely to have turned over after two years.”
Read what the research found, and what makes recognition work, in What employee recognition does for engagement and retention.
Frequently asked questions
How do you calculate employee turnover rate?
Divide the number of people who left in a period by your average headcount over the same period, and multiply by 100. For a year, the average headcount is often your headcount at the start of the year plus at the end, divided by two. For example, 12 people leaving with an average headcount of 150 is a turnover rate of 8%.
How much does it cost to replace an employee?
Gallup estimates that replacing leaders and managers costs around 200% of their salary, replacing employees in technical roles costs 80% of their salary, and replacing frontline workers costs 40% of their salary, excluding unmeasured losses in morale and knowledge. By that estimate, replacing an employee in a technical role on a $80,000 salary costs about $64,000.
Where do the estimates come from?
From Gallup’s article “Employee Retention Depends on Getting Recognition Right” by Rachael Yi, published September 18, 2024. They’re estimates for each kind of role, not your company’s own costs, and they exclude “unmeasured losses in morale and knowledge.”
Which roles count as technical or frontline?
Gallup’s article doesn’t define the groups, so put each person where their role fits best: people who lead a team or the company with leaders and managers, specialists such as engineers, developers and analysts in technical roles, and hourly, shift and customer-facing staff with frontline workers.
Does employee recognition reduce turnover?
In Gallup and Workhuman’s research, which tracked the career paths of nearly 3,500 employees from 2022 to 2024, well-recognized employees are 45% less likely to have turned over after two years.
Is what I type stored?
No. The calculator runs in your browser, and nothing you type is stored. It’s free, with no sign-up.
Make sure every employee feels recognized
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