Temp Staff Cost Calculator

Are you paying the right rate?
Enter a job title and working location to see an estimate of how much you should be paying when hiring temporary staff:
Calculate Costs
Estimated cost / hour
The amount the candidate receives before employee NI and income tax is deducted
Statutory payments
The amount the agency pays out for pension and employer NI contributions
Agency fees
The amount the agency charges to cover its costs and make a profit
Excludes VAT
All values are estimates. Range indicates potential variation due to candidate experience, specific job needs, precise location and agency fee levels.
TempaGoGo is a comparison website for temporary recruitment agencies. It helps you: find the best recruitment agencies for your job; negotiate better rates and hire great candidates - all for free and online.

Frequently Asked Questions

    Do I have to pay VAT on the whole fee?

    Yes, VAT will be charged on the full amount. This was confirmed by the Court of Appeal in the case of Adecco UK Limited and others v HMRC in 2018.

    Do I have to pay if I'm not happy with the quality of the work?

    By engaging a temp or interim worker, you are paying for the time of a person, not for a specific task completed (e.g. a wall built, or webpage coded). Most agencies include a line in the contract that if you are unhappy with the worker you can ask for a replacement, but this normally only applies within 2 to 4 hours of the start of the assignment depending on booking length - i.e. raise your concerns as soon as possible with the agency. If you want a specific task, then you can enter into what is called a 'Statement of Work'.

    How much do agencies charge?

    Agency fees will vary between around 10% to 30% of the worker pay, depending on whether the client negotiated a bulk-discount rate, availability of the worker, and client size. Note that some agencies will express their rate as a margin, rather than a mark-up, to make it appear cheaper. TempaGoGo can help you negotiate better rates, by making it easy to send your staffing need to multiple agencies, allowing you to quickly compare prices.

    What is the difference between mark-up and margin?

    Agencies sometimes use a subtle vocabulary that can increase your agency bill by a few percentage points. So what is the difference between mark-ups and margins?

    • Mark-up = (Selling price – Cost Price) / Cost price
    • Margins = (Selling price – Cost Price) / Selling price

    So what does that mean in real terms? Imagine that your candidate is paid £100/hour:

    • With a 20% markup, you end up paying £120 / hour in total.
    • With a 20% margin, you end-up paying £125 / hour in total - that's an extra 4% on your bill!

    At TempaGoGo we avoid the use of jargon, and help you to see in absolute terms what each agency is charging in terms of pay, statutory charges and fees.