UK employer costs · 2026/27

Cost of hiring someone UK (2026/27)

Browse employer costs by job role, industry sector, hours worked or scenario. Every page uses 2026/27 employer NI rates (15% above £5,000), minimum auto-enrolment pension (3%) and current National Living Wage figures (£12.71/hr). Use the full calculator to model any specific situation.

Cost of hiring by job role

Software developer
£35k–£90k
From ~£64,638/yr →
Admin assistant
£21k–£32k
From ~£29,738/yr →
Care worker
£22k–£28k
From ~£27,381/yr →
Warehouse operative
£22k–£32k
From ~£29,738/yr →
Receptionist
£21k–£30k
From ~£27,381/yr →
Sales executive
£25k–£45k base
From ~£36,825/yr →
Marketing executive
£25k–£45k
From ~£36,825/yr →
Cleaner
NLW–£14/hr
From ~£27,155/yr →
Hospitality staff
NLW–£13/hr
From ~£27,381/yr →
Teaching assistant
£19k–£26k FTE
From ~£25,150/yr →

Cost of employing by industry sector

Hospitality
Hospitality staff
NLW–£45k →
Care
Care workers
£23,809–£32k →
Retail
Retail staff
NLW–£40k →
Construction
Construction workers
£24k–£65k →
Tech
IT & tech staff
£30k–£100k+ →
Education
Education staff
£19k–£65k →
Healthcare
Healthcare workers
£23k–£65k →
Logistics
Logistics & transport
£22k–£45k →

Cost of employing by hours worked (at NLW)

16 hrs/wk · NLW ≈ £10,158/yr 20 hrs/wk · NLW ≈ £12,698/yr 24 hrs/wk · NLW ≈ £15,237/yr 30 hrs/wk · NLW ≈ £19,046/yr 37.5 hrs/wk (full-time) · NLW ≈ £24,785/yr 40 hrs/wk · NLW ≈ £25,397/yr

Employment scenario comparisons

Contractor vs employee
Day-rate vs PAYE total cost comparison
Full-time vs part-time
NI threshold effect on hours split
Sole director NI
No Employment Allowance — optimal salary
First employee cost
What hiring your first person actually costs
Minimum wage employer cost
NLW total cost including NI and pension

Cost by salary or hourly rate

Cost by annual salary Cost at NLW (£12.71/hr) Cost at £13/hr Cost at £15/hr Cost at £20/hr Employer NI by salary

Payroll software

Once costs are modelled, you will need payroll software to run the actual pay.

Xero Payroll →QuickBooks Payroll →Sage Payroll →Employment Hero → Compare payroll software

UK only. 2026/27 rates. All figures are estimates for planning. Methodology.