Estimate the cost of hiring

Verified 14 April 2026 - Entreprendre Public Service / Directorate of Legal and Administrative Information (Prime Minister)

Before recruiting, it may be useful for the company manager to assess the precise cost of hiring an employee for the organization, and to be aware of any new obligations he may be required to meet.

We introduce you to the tools that can help you project.

Hiring a first employee

The salary, and all supplements paid to the employee, are subject to social security contributions and contributions. They are calculated and paid by the employer.

The head of company who is considering recruiting can use this tool to estimate the total cost of compensation for the company, and amounts of employer and employee contributions.

Hiring Cost Simulator

The amount of the salary is determined by common agreement.

Employers and employees are free to set the basic salary and any benefits and supplements, provided they respect the Smic: titleContent (€1,823.03 monthly gross, based on 35 hours per week), which represents the legal minimum, or minimum wage provided for in collective agreements or agreements which are applicable to the company, if it is superior.

Example :

The gross minimum monthly wage of the professional hairdressing industry is higher than the Smic: titleContentIt is therefore this amount, which is more favorable for the employee, that must be respected.

A simulator developed by the Ministry of Labor facilitates the search for the applicable collective agreement: How to find a collective agreement when hiring a first employee?

To know the minimum wage to be respected (Smic: titleContent or conventional minimum wage), consult the sheet What is the minimum wage? on the Digital Labor Code website.

The employer must also respect the following principles:

  • Equal pay for women and men
  • Non-discrimination according to employees.

Impact of hiring a new employee

To anticipate the impacts of a new hire, the employer can inquire about the additional obligations that this hiring could create.

This simulator lists the obligations to be completed by the company according to its number of employees and those that could be added to it as a result of the hiring of new employees :

Social bond simulator