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Validation: Values must be ≥ 0. If Financial Value ≤ Recruitment Costs, ROI will be 0% or negative (break-even or loss).
Once you enter your values and click Calculate, the tool displays the ROI percentage from your hiring effort on a first-year basis.
ROI depends on how quickly a new hire reaches full productivity. Faster ramp and clearer enablement increase realized value and improve ROI.
Use this calculator to:
Note: Want to break down costs more granularly? Use our Cost-per-Hire Calculator (link to be added).
Business Type / Role | Typical First-Year ROI Target |
Revenue-Generating (Sales / BD) | 200% – 500% |
Customer-Facing (CS / AM) | 150% – 300% |
Engineering / Product | 120% – 250% |
Operations / Support | 100% – 200% |
Leadership / Strategic | 150% – 400% |
Marketing – Performance | 150% – 350% |
Marketing – Brand / Content | 100% – 250% |
Note: Targets vary depending on ramp time, quota, compensation plans, sales cycle, and measurement method (sourced vs. influenced value).
Example 1 — High-Impact Sales Hire
Example 2 — Operational Role with Longer Ramp
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Answers to Frequently Asked Questions
Use (Financial Value of New Hire − Recruitment Costs) ÷ Recruitment Costs × 100 to get ROI %.
Revenue generated, cost savings, productivity gains, or project value attributable to the role during the measured period (typically first year).
Recruitment costs exceeded realized value. Improve sourcing quality, shorten ramp, refine role scope, or adjust compensation.
Track early indicators (time-to-first output, milestones) and update ROI at 3, 6, and 12 months to reflect full ramp.
Yes—compute multi-year ROI or NPV if the role’s impact compounds. This calculator shows first-year ROI for comparability.
No. Use the same currency for both values; the ratio remains valid.
Normalize by first-year ROI and ramp time; consider risk and strategic importance, not just headline ROI.