Absenteeism Cost Calculator

Key Points at a Glance

• A day of absence is calculated as a recurring personnel cost: annual salary plus employer’s non-wage labor costs, divided by the number of workdays in a year.
• With an annual salary of 48,000 euros, 20 percent in non-wage labor costs, and 220 working days, that comes to about 262 euros per day of absence.
• The absenteeism rate is calculated by dividing the number of days absent by the number of workdays—for 15 days absent and 220 workdays, that comes to about 6.8 percent.
• Follow-up costs such as cover for absent employees, overtime, or lost productivity within the team are not included. The actual cost is likely to be higher.

Absences due to illness continue to take a toll—pay continues, but work piles up.

What a Day of Absence Really Costs

In the event of an absence due to illness, continued pay continues, and with it, the employer’s share of social security contributions. That is the harsh, indisputable part of the equation—it applies regardless of whether the work is made up, redistributed, or left undone.

The Formula

Cost per day of absence: average annual salary plus employer payroll expenses, divided by the number of workdays in a year. Total days of absence: number of employees multiplied by the average number of days of absence per person per year. Multiplying these two figures yields the annual cost of absenteeism.

The failure rate

In addition to the amount in euros, the calculator displays the absenteeism rate: the percentage of workdays on which paid working hours are not available. This metric allows for comparisons between businesses of different sizes and is better suited for tracking trends over several years.

What Is Deliberately Omitted

Not included are costs for substitute staff, overtime premiums, temporary staffing, missed deadlines, and the loss of productivity within the team covering for the absence. The reported amount is therefore a minimum estimate, not a full-cost calculation.

The Industry Comparison

If industry averages with a specified source are stored in FM-Admin, the calculator compares your days absent to the industry average. If the source is missing, it hides the comparison block and continues the calculation without it—a substitute value is intentionally not provided.

Frequently Asked Questions

How much does a sick day cost the employer?

The calculation is based on ongoing personnel costs: the average annual salary plus the employer’s non-wage labor costs, divided by the number of working days in a year. With an annual salary of 48,000 euros, 20 percent non-wage labor costs, and 220 working days, this amounts to approximately 262 euros per day of absence. Follow-on costs, such as substitute staff or overtime, are not included in this figure.

How do you calculate a company's absenteeism costs?

Multiply the number of employees by the average number of days absent per person per year. This gives you the total number of days absent. Multiply this by the cost per day absent. With 100 employees and 15 days absent, that comes to 1,500 days absent per year.

What is the default rate?

The absenteeism rate calculates the ratio of days missed to working days. With 15 days missed and 220 working days, the rate is about 6.8 percent—that is the amount of paid work time that is not available.

Sample Calculation

A company with 100 employees, 15 days of absenteeism per person per year, an average annual salary of 48,000 euros, and 20 percent in employer payroll expenses, based on 220 workdays.

• Per-capita personnel costs: 48,000 euros × 1.20 = 57,600 euros
• Cost per day of absence: 57,600 euros ÷ 220 = about 262 euros
• Total days absent: 100 × 15 = 1,500
• Annual costs of absenteeism: 1,500 × 262 euros = approximately 393,000 euros
• Failure rate: 15 ÷ 220 = about 6.8 percent

Simplified sample calculation provided for informational purposes only. Follow-up costs such as substitute staff or overtime are not included—the actual cost is likely to be higher.

Sources and Assumptions

The number of employees, average days of absence, annual salary, and employer payroll overhead are input values and therefore your own assumptions. The calculator does not substitute market values for them.

The industry comparison is displayed only if a named publication with a status and source URL has been saved in FM-Admin. The source citation should then also be included here.