Full Time Equivalent (FTE) Calculator Explained:
(a) What is this? This calculator tells you the number of Full Time Equivalent (FTE) employees a business has. Use either weekly numbers (the top calculator), or montly numbers (the bottom calculator).
(b) What does this tell me? Because most businesses have a number of part time employees, it is complicated to work out what the equivalent would be if they were all full time. This calculator does that for you. Select weekly or monthly hours worked to calculate the number.
(c) Why should I use it? It is a very useful point of comparison. You can see where most of the labour is being employed. Sometimes there is an inequity in the staff in one part of the business, which can be good or bad. It will also allow you to compare your business to others (if the data is available), and the differences between months within a business.
(d) Caution: This calculator assumes a 40 hour week, some businesses determine a "week" as 38 hours in which case the calculator is not accurate for a weekly measurement and you should discontinue use of this calculator. Expect to see an imbalance. There is no suggestion that the Management and Staff numbers need to be the same. They don't. The numbers do not need to be the same each month, in busier months, Staff FTE might increase. If you are building sales the numbers will also increase. Bigger or smaller numbers are not good or bad.