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Ratio

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27 March 2014 What should be ratio of salary vs turnover in general?

27 March 2014 there is no such correlation for any purpose in this case...

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Querist : Anonymous

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Querist : Anonymous (Querist)
27 March 2014 Ratio or percentage for salary of total turnover?

20 July 2025 Good question! The salary-to-turnover ratio can vary widely depending on the industry, business model, and company size. However, here are some general guidelines:

Service-based industries (like IT, consulting, accounting): Salary expenses often form a large chunk, typically 30% to 50% of turnover, because these businesses are labor-intensive.
Manufacturing or product-based businesses: Salary might be a smaller percentage, say 10% to 20% of turnover, since a bigger share goes to raw materials and other costs.
Retail businesses: It could range anywhere from 5% to 15% depending on staffing needs.
In summary:
Salary / Turnover × 100 = % of turnover spent on salaries


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