Logo Jober.ae

Recruitment agency margin calculator

Quote clients with confidence. Enter the worker's pay rate, the employer on-costs and the bill rate to see the margin per hour and per month.

The figures behind it · Employer on-costs (statutory)
gratuity 5.83 % of basic
Markup
(bill − pay) ÷ pay
Margin
(bill − cost) ÷ bill

Your figures

What the worker is paid per hour, gross.

What the client is invoiced per hour, excluding VAT.

Gratuity accrual, leave accrual, medical insurance and visa costs as a share of the pay rate. Prefilled with the statutory gratuity accrual.

Payroll processing, compliance, timesheets, insurance per worked hour.

How agency margin is calculated

Markup and margin are different numbers, and the on-costs sit between them.

Cost per hour
Pay rate plus employer on-costs (gratuity accrual, leave pay accrual, medical insurance, visa costs) plus any per-hour overheads such as payroll and compliance.
Markup
How much the bill rate exceeds the pay rate, as a share of the pay rate. An AED 20 pay rate billed at AED 32 is a 60 % markup.
Margin
What is left of the bill rate after the full cost, as a share of the bill rate. The same AED 32 with AED 21.17 of cost (gratuity accrual of 5.83 %) is a 34 % margin, AED 10.83 an hour, about AED 1,730 a month on 160 hours.
Source and rules

Jober

Rule set 2026.1, last checked on October 12, 2026.

The result is an estimate based on the statutory rules. Your contract, collective agreement or tax code may change the figures. It is not tax or legal advice.

Frequently asked questions

What is a typical staffing agency margin?

Gross margins of 15 to 25 % are common for temporary and contract staffing; high-volume industrial work sits at the lower end, specialist contractors higher.

What is the difference between markup and margin?

Markup compares the bill rate with the pay rate; margin compares the profit with the bill rate. With the prefilled 5.83 % gratuity accrual, a 50 % markup on pay is about a 29 % margin; add insurance, visa and leave costs and it drops further.

What on-costs should I include?

The gratuity accrual of 5.83 % of basic salary, medical insurance, visa and Emirates ID costs spread over the assignment, leave pay accrual (30 days on 365) and payroll costs. The field is prefilled with the statutory minimum.

What next?

Filling roles for clients? Post them on Jober and manage every applicant in one place.

Post a job

Other calculators

All calculators