Healthcare Labor Burden Calculator

Rich benefits, generous PTO, and credentialing costs put healthcare burden near 39%. A $42 nurse costs over $58 an hour.

Pre-filled with healthcare estimates: workers comp 2.0%, benefits 12.0%, 20 PTO days, overhead 6.0%. Edit any field below.

Social Security + Medicare (7.65%)

Federal unemployment (effective 0.6%)

Health, retirement, etc.

$41.60/hr

Fully burdened rate

38.6%

Burden added

$86,518

Annual cost

Burden breakdown

Employer FICA (Social Security + Medicare)7.7% · $2.30/hr
Federal Unemployment (FUTA)0.6% · $0.18/hr
State Unemployment (SUI)2.7% · $0.81/hr
Workers' Compensation2.0% · $0.60/hr
Benefits (health, retirement)12.0% · $3.60/hr
Overhead (PTO, equipment, admin)13.7% · $4.11/hr
Total burden38.6% · $11.60/hr

A $41.60/hr fully burdened rate is real money per placement. Skillora's AI screens every candidate so you only pay for the right ones.

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Estimates only, using editable 2025 US defaults. Tax and insurance rates vary by employer, classification, and locality. Verify with a licensed accountant before relying on these figures.

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A registered nurse on $42 an hour costs a hospital about $58 an hour before a single shift differential is paid. Healthcare employers carry some of the richest benefit plans in the private sector, more paid time off than most industries, and a credentialing cost that no other field matches. This healthcare labor burden calculator pre-fills those defaults so a staffing budget or an agency bill rate starts from the right base.

Why labor burden is different in healthcare

Benefits are the biggest reason healthcare burden runs high. Hospitals and health systems compete for licensed staff with health coverage, retirement matches, tuition support, and paid leave that is generous by private-sector standards. BLS ECEC data show benefits at a large share of compensation in the sector, and once legally required benefits and paid leave are separated out, health and retirement alone still sit near 12% of wages for a typical system. Small practices and home health agencies come in lower.

Paid time off is the second reason. Twenty days is a normal accrual for a nurse with a few years of service once vacation, sick, and holiday time are combined, and unlike an office role, that time has to be covered by another person. The cost is the paid hours plus the premium paid to whoever fills the shift. The calculator prices the paid hours; add the coverage premium to overhead if you track it.

Workers comp varies by setting more than by title. A hospital is often rated near 1% to 2% of payroll. Skilled nursing and home health, where lifting and transfers happen without a lift team, can run 3% to 6%. The 2% default fits a hospital or clinic. Raise it for long-term care.

Worked example with healthcare defaults

Take a registered nurse at $42.00 an hour. Add employer FICA at 7.65%, FUTA at 0.6%, state unemployment at the 2.7% US default, workers comp at 2.0%, benefits at 12.0%, and 13.7% for overhead plus 20 PTO days. Total burden is 38.6%, so the fully burdened rate is $58.23 an hour, or $121,125 a year on 2,080 hours against $87,360 of base wages.

Role (pay estimate)Pay rateBurdenFully burdenedAnnual cost
Registered nurse$42.00/hr38.6%$58.23/hr$121,125
Medical assistant$22.00/hr38.6%$30.50/hr$63,446
Certified nursing assistant$19.00/hr38.6%$26.34/hr$54,794

Pay rates are rounded estimates near national medians, and the SUI line uses the US default. Open a state page from the labor burden by state list to swap in a local SUI estimate, then enter your own class rate for workers comp.

What drives the range

Care setting

Hospital, outpatient clinic, skilled nursing, and home health each carry different workers comp classes and different benefit norms. Pick the setting first, then the role. A CNA in home health carries a higher burden than the same CNA in an outpatient clinic.

Credentialing and compliance

License verification, background checks, immunization records, competency testing, and continuing education are real costs per hire and per year. For agency nurses they are paid again at every new facility. That is the bulk of the 6% overhead default.

Shift differentials and overtime

Nights, weekends, and charge pay raise the base rate that every percentage is applied to. Enter a blended rate that includes the differentials the role actually earns, not the day-shift base.

Agency versus staff

A travel or agency nurse carries less benefits burden but a large agency markup and housing stipend. Compare the fully burdened staff cost from this calculator against the agency bill rate before deciding which is cheaper for a given unit.

Healthcare burden defaults

InputDefaultTypical spread (estimate)
Workers comp (% of payroll)2.0%1.0% to 6.0% by class code
Benefits (% of wages)12.0%Health and retirement only
Paid time off20 days7.7% of a 2,080-hour year
Overhead (% of wages)6.0%Entered as 13.7% with PTO
Typical total burden38.6%28% to 42%

Sources: benefits share from the BLS Employer Costs for Employee Compensation release; workers comp variation from NCCI class codes and state rating bureaus; pay estimates near BLS OEWS medians. PTO, overhead, and the burden range are estimates, not published figures.

More labor burden calculators

Labor burden calculator with the generic US defaults, and labor burden by state for local SUI estimates in all 50 states and DC.

Other industries: Construction, Staffing Agency, Field Service, Manufacturing, Hospitality.

Healthcare Labor Burden FAQ

What is a typical labor burden rate in healthcare?
Estimates commonly range from 28% to 42% of base wages for hospital and health-system employees, driven by benefits and PTO. Physician practices and home health agencies with leaner benefits can sit below that range. Verify against your own benefits cost per employee.
How do I calculate the fully burdened cost of a nurse?
Start with the blended hourly rate including differentials, then add employer FICA, FUTA, SUI, workers comp for the setting, benefits as a percentage of wages, PTO, and credentialing overhead. At $42 an hour and the defaults on this page, the fully burdened rate lands a little above $58 an hour. Adjust each field to match your system.
Should PTO for nurses be costed differently than for office staff?
Yes, because the shift must be covered. Cost the paid hours as PTO, then add the coverage premium, usually overtime or agency rate minus regular rate, to overhead. Many systems find the coverage premium is larger than the PTO itself.
How does healthcare labor burden vary by state?
State unemployment wage bases, workers comp rates for healthcare class codes, and state paid family and medical leave contributions all differ. Washington, New Jersey, and Massachusetts, for example, collect employer contributions for paid leave programs. Use the state pages to pre-fill SUI, then add any state leave contribution to overhead.