FounderMage

Hiring

Hiring Affordability Calculator

Add a fully loaded monthly hire cost to current burn and compare runway before and after, plus the cost that would preserve a target.

Decision: If I add this hire, do I still meet my runway target?

This tool runs in your browser. FounderMage does not send the numbers you enter to our servers.

Result

  • Current runway

    Current runway: 12 months

  • Runway after hire

    Runway after hire: 7.8 months

  • Meets target?

    Meets target?: No, under these inputs

  • Hire cost that still hits the target

    Hire cost that still hits the target: $0.00

How to read the result

If new runway is below the target, the hire cost you entered consumes cash faster than that target allows. That is not an instruction to refuse the hire.

Calculated facts

Totals and thresholds come only from the values on this page. They describe the math, not what you should do.

Still a judgment call

Risk, timing, customers, and judgment stay outside the calculator. A stronger number can still be the wrong path.

Methodology

Current net burn is monthly costs minus monthly revenue. New net burn adds the fully loaded hire cost. When net burn is positive and cash is zero or greater, runway is cash ÷ net burn, so zero cash is zero months. Cash that is already negative is not a future runway. Negative net burn means cash is increasing. Zero net burn has no finite runway. The hire cost that still hits the target is cash ÷ target months, minus current net burn, when cash is zero or greater and that result is zero or greater. That figure is omitted when cash is already negative or when no non-negative hire cost meets the target.

Assumptions

  • The hire does not change revenue in this model unless you raise revenue yourself.
  • Fully loaded cost is your figure, not a statutory table.

Examples

Hire that shortens runway

$180,000 cash, $10,000 revenue, $25,000 costs, $8,000 hire: net burn rises from $15,000 to $23,000 and runway falls from 12.0 to 7.8 months.

How to use this tool

  1. Enter cash, monthly revenue, monthly costs, fully loaded hire cost, and a runway target.
  2. Compare current and new runway, and the maximum hire cost that still hits the target.

Limitations

  • Contractor tax treatment and overtime are not modeled.
  • Not employment, tax, or HR advice.

Questions

Is this take-home pay?
No. Enter the employer’s fully loaded monthly cost as you understand it. The page does not look up taxes or benefits.
Does a yes mean I should hire?
No. Meeting a runway target is only the cash arithmetic. Role need, risk, and management load sit outside the result.

Related decisions

Hiring Affordability — Runway After a Hire