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Permanent vs Temporary Staffing

Compare a permanent hire with temporary coverage.

About Permanent vs Temporary Staffing

For a short surge, temporary staffing is paid only for weeks actually used, while a permanent hire costs a prorated slice of salary plus its burden. Permanent hires look cheap hourly until benefits, gaps and fixed salary land, so comparing over the actual need window prevents over-hiring.

Formula

Permanent vs Temporary Staffing

Permanent cost = salary x weeks/52 x (1 + burden); temp cost = rate x hours x weeks

burden
Benefits and taxes on top of permanent salary

Worked example

With the default values below, Permanent vs Temporary Staffing returns Permanent Cost for Window of $22,523.08. Change any input above and every figure here is recalculated in your browser.

Inputs used

Permanent annual salaryminimum 0
40,000
Temp hourly rateminimum 0
18
Temp hours per weekminimum 0
40
Assignment in weeksminimum 0
24
Burden on permanent hireaccepts 0–100 %
22 %

Results

Permanent Cost for Window
$22,523.08
Temporary Cost for Window
$17,280.00
Cheaper Option
Temporary is cheaper

Step by step

  1. 1Values used
  2. 2Permanent vs Temporary Staffing
  3. 3Permanent Cost for Window= 22,523.08
  4. 4Temporary Cost for Window= 17,280.00
  5. 5Cheaper Option= Temporary is cheaper

Assumptions and limits

  • The result is derived only from the 5 inputs listed above. Anything not among them is not part of the calculation.
  • In particular, this calculator does not take inflation, tax or fees or charges into account.
  • Figures are rounded for display to 2 decimal places, so totals built from several rounded parts can differ slightly from the unrounded arithmetic.
  • This is an estimate for general information and not professional financial, tax or legal advice. See the full disclaimer for the limits that apply to this kind of calculator.

How these calculators are built and tested is described on the Methodology page. If a figure looks wrong, please report it.

Frequently Asked Questions

How is Permanent vs Temporary Staffing calculated?

Permanent cost = salary x weeks/52 x (1 + burden); temp cost = rate x hours x weeks For a short surge, temporary staffing is paid only for weeks actually used, while a permanent hire costs a prorated slice of salary plus its burden.

Why does Permanent vs Temporary Staffing matter?

Permanent hires look cheap hourly until benefits, gaps and fixed salary land, so comparing over the actual need window prevents over-hiring.

What values do I need to enter?

This calculator takes 5 inputs: Permanent annual salary, Temp hourly rate, Temp hours per week, Assignment in weeks, Burden on permanent hire. The pre-filled defaults are a realistic starting point — replace them with figures from your own environment for a result you can act on.

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