Billable hours in a year
Billing targets can vary, but some companies have established goals for employees to clock about 1,500 to 1,600 billable hours a year, while some companies have set the bar much higher - between 2,000 and 2,200 hours.

Billable hours = total workable hours in year - (minus) non billable time including holidays, vacation, sick leave, training, administrative tasks. An efficient designer can have 70% of their time as billable.

Non billable hours include:

1) Initial paid leave is 2 weeks per year
The average American worker is entitled to 16 days of paid leave per year
2) 5 - 16 paid holidays. There are 10 federal paid holidays.
If you want to take these calculators with you, simply download the free Business Phone App.
© 2015 TrinityP3 - Strategic Marketing Management Consultants - Australia, Singapore, Hong Kong

How much does an employee really cost?
While that depends on benefits -- and several layers of taxes -- it typically ends up being 18% to 26% more than a worker's base salary. It can be even higher for larger companies. And is often 30% for designers

really cost

What U.S. employers have to pay in addition to salary:

The employer must match the FICA and Medicare amounts withheld from each employee’s pay, .
Currently the FICA rate is 6.2% of the wage up to $110,100.
Medicare is calculated at 1.45% of the employee’s pay with no upward limit.

The employer must also pay into the federal and state unemployment funds (FUTA).
The rate is 0.8% of the first $7,000 of an employee’s pay each year. Once you have accumulated more than $500 of FUTA tax, you must make a deposit. Annually, if you pay wages in excess of $1,500

Health Insurance
Life Insurance
Disability Insurance
Retirement - Pension

Rent and utilities
Equipment - computers etc.
Phone + Internet

Job/project supervision
Administrative support