That $50k employee you're thinking about hiring? They're actually going to cost you $65k once you fa

Added: 2026-05-20

[00:00:00]But wait, there's more.

[00:00:02]You have to multiply that by 25 to 30%.

[00:00:09]Why?

[00:00:10]Because taxes, workers comp, health insurance, those things add up.

[00:00:17]So, you're not paying an employee $50,000 a year.

[00:00:22]You're paying them $50,000 a year plus another 15,000 on top of that for their benefits.

[00:00:31]It can get pricey really fast.

[00:00:34]So, before you take that leap, you really need to consider, do you have the cash for it?

[00:00:40]And you shouldn't assume that bringing someone in will magically bring you in more cash.

[00:00:48]That's one of the biggest fallacies and biggest issues that owners hit.

[00:00:54]They assume, "Hey, I'm going to bring in an employee, there'll be two of us, we'll double our income."

[00:01:02]That's not what's going to happen.

[00:01:04]That employee is not going to work as hard as you, and he's just not going to bring in as much.

[00:01:10]So, be careful.