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Revenue Per Employee Calculator

Revenue per employee is the bluntest useful measure of how much output a business gets from its people. It is easy to compute and easy to misread, so it rewards care with the inputs.

Revenue per employee

$150,000.00

Revenue per employee, previous year
$137,931.03
Change in output per head
8.75%
Revenue growth
20.00%
Headcount growth
10.34%

Values update as you type. This calculator covers the single scenario its formula assumes — see Common Mistakes for what it leaves out.

The formula this calculator uses

Revenue per employee = annual revenue / number of employees

RPE
Revenue per employee, the average output attributed to each person
R
Revenue for the period, normally a full year
N
The number of employees who produced that revenue

How to check the result by hand

  1. 1

    Take a full year of revenue

    Use the same period each time you compute it. Here 24,000,000 for the year, against 20,000,000 the year before.

  2. 2

    Choose the headcount basis and hold it

    Full time equivalents averaged over the year is the most comparable basis. This example uses 160 this year and 145 last year, measured the same way in both.

  3. 3

    Divide for each period

    24,000,000 over 160 is 150,000. The year before, 20,000,000 over 145 is 137,931.03.

  4. 4

    Compare the two figures

    150,000 over 137,931.03 is an increase of 8.75 percent in output per head. That is the productivity story.

  5. 5

    Decompose the change before acting on it

    Revenue grew 20 percent while headcount grew 10.3448 percent. The gap between those two rates is the whole of the 8.75 percent gain.

For worked examples, common mistakes and the limits of this formula, read the full How To Calculate Revenue Per Employee page.