Hotel Payroll Cost Calculator

What hotel payroll really costs

Salaries are usually one of the largest costs in an Indian hotel, but the salary sheet is not the full picture. On top of gross pay, the employer pays its share of Provident Fund and ESI, sets aside bonus, and often provides staff food, uniforms and accommodation. This calculator adds all of these department by department and shows payroll as a percentage of revenue and staff per room.

How PF and ESI are worked out here

• Employer PF: 12% of basic wage, with the wage capped at ₹15,000 a month by default. So the employer share is at most ₹1,800 per employee a month at these settings.
• Employer ESI: 3.25% of gross salary, only for employees whose gross pay is ₹21,000 a month or less.
• Basic wage: set as a percentage of gross. Under the new labour codes, wages for these purposes generally cannot be less than half of total pay, so 50% is a sensible default.

All rates and limits are editable because they change from time to time. Confirm current rules with your payroll consultant or CA.

Using the two key ratios

Payroll % of revenue tells you how much of every rupee earned goes to staff. Track it monthly: if it rises in the low season, consider flexible rosters, multi-skilled staff and leave planning. Staff per room depends heavily on the services you offer. A limited-service hotel needs far fewer people than a resort with a restaurant, spa and banquets, so compare only with similar properties or with your own past months.

Ways to control payroll without hurting service

• Plan shifts around occupancy and arrivals with the staff duty roster generator.
• Base housekeeping headcount on rooms to clean, using the housekeeping staffing calculator.
• Cross-train front office and F&B staff to cover peaks.
• Use seasonal or part-time staff in peak months instead of permanent overstaffing.

Frequently asked questions