How many fte

Enter your employee data into the calculator in the relevant fields. Be sure to check whether the hours worked are entered on a weekly, monthly, or annual basis and edit your data appropriately. Double-check your information before pressing "calculate" to make sure that it is correct. Use this FTE calculation as an estimate only. Keep in mind that the calculation you get from the FTE calculator tool is just an estimate. You can use this number for roughly estimating FTE values for yourself for guidance or educational purposes.

But these calculations should never be used as a replacement for legal or tax advice from a professional in the field. Method 3. Calculating FTE is an important thing that you need to make sure gets done correctly. If you make a mistake in your calculations, it can negatively impact many aspects of your business including anticipating profits, taxes, and other issues. They will need access to your employee files, previous tax documents, and other similar types of documents.

Request help from a legal professional. Certain types of lawyers will have experience in this area and will be able to help you with your calculations to ensure they are done correctly. Seek out advice from corporate or tax lawyers for help calculating your FTE. Use FTE to calculate business metrics. FTE analysis can be a useful tool for assessing how many employees are needed in a certain part of a business or in total. Business owners can also track how overall employee growth has trended over the years in a clearer way by analyzing FTE changes.

FTEs can be compared to other metrics to assess how much additional employees contribute to the business's profitability or revenues. If your business uses part-time employees, you might want to convert their hours worked into full-time equivalents. Calculate FTE for health insurance.

One use of FTE is in calculating the size of a small business for health insurance purposes. This program offers affordable and high-quality employee insurance policies to business owners. Businesses also have to meet other standards to qualify. Use FTE to calculate student enrollment. FTE is also used to mean "full time equivalent enrollment" and is used by universities and other educational institutions in a similar fashion to track enrollment of full and part-time students.

Rather than work hours, class hours are used, with full-time students being those with a full credit load often 12 hours per week and part-time students being those taking fewer than However, other schools may use different credit hour calculations for FTE. Jill Newman, CPA. A company will have to decide if it wants to use the standard annual hours in a job which includes holiday and PTO time , or if it is more useful to use actual hours working on the job.

This will depend on what the analysis will be used for. Not Helpful 4 Helpful An FTE is the hours worked by one employee on a full-time basis.

This is used to convert the hours worked by several part-time employees into the hours worked by full-time employees. The FTE concept is used in a number of measurements. Not Helpful 6 Helpful 8. Include your email address to get a message when this question is answered. By using this service, some information may be shared with YouTube. FTEs do not indicate the number of employees.

This calculation comes from dividing 30 hours by 40 hours to get 0. If you use a different number of hours for full-time, divide 30 by that amount to get the FTE value. Please note that we are not your career or legal advisor, and none of the information provided herein guarantees a job offer.

Post a job. Find resumes. Help Center. Find Jobs. Post a Job. With Example Calculation. Post a Job Are you a job seeker? Find jobs. What is FTE? List your employees and hours worked Prepare a list of all the employees paid with a year-end W-2 form.

Determine the number of hours considered to be a full-time position Companies usually define their full-time schedule by the maximum hours authorized, which is 40 hours per week.

Calculate the hours worked per year There are 52 weeks in a year. Multiply the number of weekly hours by Add up all full-time hours Add up all the full-time hours worked by your full-time employees. Add up all part-time hours Add up all the part-time hours worked by your part-time employees. Determine the part-time FTE To determine the part-time FTE, divide the hours worked by part-time employees by the hours worked by full-time employees.

Example of full time equivalent calculation To better understand FTE meaning and to understand how it works, here is a sample calculation. List your employees and hours worked: A company has a headcount of four. Determine the number of hours considered to be full time: The company considers 40 hours per week as full time. Two full-time employees would be 2.

The part-time FTE is 0. Health insurance regulations differ in each state. See a licensed agent for detailed information on your state. PeopleKeep, Inc. LOG IN. Select your product. Subscribe to our blog. How do I calculate the number of full-time equivalent FTE employees? Calculating the number of FTE employees For the purposes of determining whether your company is an applicable large employer, you must include all full-time employees plus the full-time equivalent of part-time employees.