Express output relative to the labor resources used.
Productivity Calculator
Results
Revenue per employee
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Revenue per working hour
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Table of Contents
1
What is Productivity?
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How to Use This Calculator
- Enter or select Revenue, Number of employees, Number of working hours.
- Check the unit beside each measurement. For a percentage or rate, use the scale and time period stated in the form.
- Choose Calculate, then compare the output with the formula and example below. If you change a value or option, calculate again to update the result.
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Formula Used
Revenue per labor hour = revenue/(employees × hours per employee)
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Variables Explained
| Input | What it means |
|---|---|
| Revenue | Sales or operating income before the costs specified in the calculation are deducted. |
| Number of employees | The number to test or transform; use the integer or real-number domain stated in the formula. |
| Number of working hours | The number to test or transform; use the integer or real-number domain stated in the formula. |
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Worked Example
Revenue 10,000 from 5 people working 8 hours each gives 250 per labor hour.
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Why Use This Calculator?
Compare the result with the underlying statement, budget or proposed transaction. It is most useful when every amount uses the same reporting period and the same accounting definition.
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Common Mistakes
- Make sure the hours input is per employee if the calculation also multiplies by headcount.
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Frequently Asked Questions
Should I use monthly or annual figures?
Use one consistent period for every amount and rate in the relationship. If a form specifies an annual rate or a monthly amount, follow that label rather than mixing time periods.
Does the result include fees and tax?
Only the costs and taxes represented by the inputs and formula are included. A real transaction can include other charges, so compare the estimate with the underlying agreement or statement.
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Sources & References
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