Posts Tagged ‘payroll to sales’

Employees and Sales Efficiency

Do you wonder if there is a way to measure if your sales justify your employee head count and payroll expense? Here are two ways and some refinements.

Payroll to Sales

Payroll to sales is a percentage calculated as:

Payroll to Sales Percentage = (Payroll Expenses / Sales) * 100

The lower this percentage, the more it appears you are getting a good return in sales for what you spend on payroll. Of course there are some other things to consider, such as: Read the rest of this entry »


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