What is Cost per Hire?
Average cost to fill a position.
How to calculate it
Calculate Cost per Hire as: Total recruiting cost / Number of hires. Pull the inputs from your connected data and track the trend over time in your dashboard.
Examples
Example 1
$40,000 total recruiting cost / 10 hires = $4,000 per hire.
Example 2
$40,000 in total recruiting costs across 10 hires -> $4,000 per hire, in line with the benchmark once recruiter salaries are included.
Why it matters
Cost per hire is the average cost to fill a position and is used to budget and benchmark recruiting efficiency. It captures the full investment required to bring talent on board and helps justify spend on tools or agencies. Excluding internal recruiter costs understates the true figure.
Benchmark context
Around $4,000 is a commonly cited average, but it varies widely by role seniority and market; include both internal and external costs.
Common pitfalls
Excluding internal recruiter costs.
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