What is the difference between attrition and turnover?

In common use they are the same. Some teams use attrition for roles that are not backfilled and turnover for all separations. Define your terms once and keep them.

Should involuntary exits be included?

Include them in the headline rate and report voluntary attrition separately. Voluntary attrition is the number that reflects how people feel about working for you.

How do I calculate average headcount?

Add headcount at the start and end of the period and divide by two, or average the monthly headcounts for a more precise figure.

What is early attrition?

Leavers within their first year, sometimes the first 90 days. It is the most costly kind and usually points at a hiring or onboarding problem.

Attrition Rate Calculator

Track employee attrition. Results update as you type.

Cost Per Hire Calculator

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Employees who left

Average headcount

Attrition rate

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Retention rate100.0%

The complete guide

Everything you need to know

01What the attrition rate calculator does

Enter the number of employees who left in a period and the average headcount over that period, and get the attrition rate and its mirror, the retention rate. It is the fastest read on whether a team is holding together, and the metric most boards ask about after revenue.

02How the calculation works

Attrition rate = employees who left ÷ average headcount × 100. Retention rate = 100 − attrition rate. Average headcount is usually (headcount at start + headcount at end) ÷ 2, or the mean of monthly headcounts for a more accurate annual figure. Count all leavers, voluntary and involuntary, for the headline number, then split them to understand it.

03Worked example

12 leavers in a year against an average headcount of 150. Attrition = 12 ÷ 150 × 100 = 8.0%. Retention = 92.0%. If 9 of the 12 were voluntary, voluntary attrition is 6.0%, and if 5 of those left within their first year, early attrition is the problem to solve first.

04What a normal attrition rate looks like

It depends heavily on sector. IT services and BPO in India have run at 15% to 25% or higher in tight markets; manufacturing and government are far lower. Across the US, total separations have averaged roughly 3.5% to 4% a month in recent years. A useful rule: compare your voluntary rate with your sector, and treat any rise of more than a few points in a year as a signal, whatever the absolute level.

05Reducing attrition starts at hiring

The most expensive attrition is early attrition, someone who leaves inside twelve months, because you pay the hiring cost twice. Most of it traces to a mismatch that was visible before the offer: the skills were not there, the working style did not fit, or the role was oversold. Screening on skills and a short personality inventory before the interview, and being straight about the job, cuts early leavers more than any retention programme after the fact.