Start with the training program Add the number of participants, training hours, average salary, course costs, and expected productivity improvement. Takes about two minutes.

Training details

Start with the number of people attending and their paid training hours.

Participants

people

Paid training hours per person

hrs

Employee time costs

Average annual salary per participant

$/yr

Employer benefits cost

%

Enter employer-paid benefits as a percentage of salary.

Training costs and expected results

Training cost per participant

$

Include each participant's share of course fees, materials, and instructor expenses.

Set your expected improvement

Expected productivity improvement

%

Enter the productivity improvement you expect after training.

How long the improvement lasts

months

Estimate how many months the improvement will continue.

Training ROI

105% ROI

$2.05 in estimated value for every $1 spent

Net benefit

$20,000

Payback

5.8 months

Productivity improvement needed to break even: 2.4%. Your estimate of 5% is above the break-even point.

Use your results

Choose one result to measure before and after training, such as completed work per hour. Better retention and fewer errors may add value beyond the productivity estimate.

Email your results

Send yourself a copy of your calculation and inputs.

How the calculation works

What counts toward training cost

Your total training investment includes course fees, materials, instructor expenses, and paid employee time. For 10 participants attending 24 hours each, at an average salary of $60,000 with 30% benefits and 2,080 annual work hours, the employee time cost is about $9,000. Add course and instructor costs to calculate the total investment.

Show the calculation

How the expected return is calculated

The calculation uses salary and benefits to estimate what improved productivity could be worth over the period you select. For 10 employees earning $78,000 each in annual salary and benefits, a 5% improvement lasting 12 months represents $39,000 in estimated value. With a $19,000 total program cost, the estimated net benefit is $20,000.

Choose one business result the training should improve. Measure it before and after training, and account for other changes that may have affected performance. Use what you learn to improve future estimates.

Other ways training creates value

Training can also improve retention, reduce errors, strengthen compliance, and improve customer satisfaction. Those improvements can create value beyond the productivity gain shown here. For example, avoiding one departure could save the equivalent of 50% of annual salary if that is your estimated replacement cost.

Compare training options

Build your training budget

See how different productivity improvements change costs, ROI, and payback. Use the Break Even, Scenario, Benchmark, and Summary tabs to prepare your training budget.

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Compare this estimate with your records to help plan your next step.

Training ROI Calculator