Posted on: 23-07-09 04:57:54
What would be the cost to company if a person is getting a salary of say 50K and health/critical illness insurance is included in the salary ?
Does this CTC remain in constant proportion for other ranges of salary ..... say 100K?
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Fido.
Quote:Group health/critical illness insurance is usually not very expensive.
Originally posted by Fido
What would be the cost to company if a person is getting a salary of say 50K and health/critical illness insurance is included in the salary ?
Most likely less than $100 a month
Quote:The insurance premium should be a fixed $ amount, regardless of base salary.
Does this CTC remain in constant proportion for other ranges of salary ..... say 100K?
After all, a manager is equally likely to have a health issue/critical illness as a janitor.
But, maybe not
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"Mah deah, there is much more money to be made in the destruction of civilization than in building it up."
-- Rhett Butler in "Gone with the Wind"
Thanks Pratickm ,
Any idea about other costs to the employer like EI CPP WSIB .... If an employee is getting say 60K , how much is he costing to the company ~ 70K ??
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Fido.
Quote:
Originally posted by Fido
Thanks Pratickm ,
Any idea about other costs to the employer like EI CPP WSIB .... If an employee is getting say 60K , how much is he costing to the company ~ 70K ??
2009 amounts:-----
CPP:
Employee Premium= (Salary - 3500) x 4.95% ---- Max 2118.60
Employer's cost = Same as above
EI:
Employee Premium= Salary x 1.73% ---- Max 731.79
Employer's cost = Employee's premium x 1.4
WSIB:
Premium rate depends on the type of job and accident history of the workplace.... generally work in factory/warehouse/machine shop attracts higher premium than work in office...
ranges 1% to 2% (of salary) .......... you may use 1.5% for your calc.
Apart from this, Employer also pays EHT (if employer's total payroll exceeds the threshold $400,000) ........
Then Group health/dental/insurance premium ..... depends on what does plan cover.......
Not sure what purpose you want all these numbers for ...... hope this is what you were looking for.....
Cheers !
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Vik
In an organization with better than average benefits with pension (not the worst not the best) benefits constitute 2.5% of salary. I know this because i came across a spreadsheet which has the salary and benenfits cost estimation/calculation.
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Live and Let Live
Quote:
Originally posted by Fido
Thanks Pratickm ,
Any idea about other costs to the employer like EI CPP WSIB .... If an employee is getting say 60K , how much is he costing to the company ~ 70K ??
Besides insurance, there is vacation and any additional company based benefits: bonus, training, educational cost, company equipments provided to employee, any "work-from-home", day-care benefit, etc. Usually bonus has some impact on salary - no bonus might means higher salary. And there is also future value of the employee and the work assigned.
It's tough to put a $ number on overall cost. Same as your guess, I'd guess on 60K it should be around 70-75K. This might change with bonus.
But don't forget the value added by that employee.
Just curious about your curiosity
what exactly you are looking for ? and why?Thanks all , Sville , Vikshr , Chittesh .
You have given good responses especially Vikshr who has been kind enough to give accurate figures ...... I d be very honest here ..... just wondering if a permanent employee would ask his employer to convert to contract (in order to save on taxes ) how much would the company be willing to pay w/o feeling the pinch ...
I know contracting is a different ball game altogether and none of the above benefits associated but assuming that longevity can be requested , what would be a comparable rate , the company would perhaps be willing w/o feeling the pinch ....
Would it be foolhardy to say ... ' OK you pay me 60K ..... could you pay me 85K as contract ? '
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Fido.
