Turnover Rate Calculator
Calculate employee turnover rate from leavers and headcount. Optional average headcount override and annualised turnover.
Use the Turnover Rate Calculator
Enter employees who left, headcount at start and end (or average override), and period length. Turnover rate and optional annualised rate are calculated.
Employee movement
Employees who left and headcount at start and end of period. Optional average headcount override.
Results
Turnover rate = Leavers ÷ Average headcount × 100. Annualised: 1 − (1 − period turnover)^(12/period months), for comparison across different period lengths.
What this metric means
Turnover rate is the proportion of employees who left during a period relative to average headcount. It signals retention and labour stability and is used for planning and benchmarking.
How to calculate it
Average headcount = (Headcount at start + Headcount at end) / 2 (or use your override). Turnover rate = Leavers / Average headcount x 100. For annualised rate, use the formula that compounds the period rate to 12 months.
How to improve the metric
Reduce voluntary turnover through pay, conditions, career path and culture; manage involuntary turnover through performance and fit. Track exit reasons and segment by role or tenure to prioritise actions.
Common mistakes
Using headcount at one point instead of average; mixing periods (e.g. leavers for 6 months with annual headcount); or including contractors in headcount but not in leavers (or vice versa).
How to interpret your result
Compare to your own history and, if available, industry benchmarks. High turnover increases recruitment and onboarding cost and can affect productivity; context (role, market) matters.
FAQs
How is turnover rate calculated?▾
What period should I use?▾
What is annualised turnover?▾
Should I use start/end headcount or average?▾
What counts as a leaver?▾
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