Step 1 — Select role type
Step 2 — Enter their On-Target Earnings (OTE)
$
$100,000
$60K$80K$100K$120K
Cost breakdown
Recruiter / placement fee
20% of OTE, paid upfront*
$0
Benefits & payroll overhead
25% of base salary for 3 months
$0
Ramp cost (lost output)
3 months at 50% productivity
$0
🔄 If it doesn't work out, add...
You start over from scratch — recruiter fee + ramp cost all over again. That's another $0 at risk.
$0+
⚠️ What about the recruiter's 90-day guarantee?
Most recruiters offer a free replacement within 90 days if the hire doesn't work out. But the guarantee only covers the recruiter fee — your salary costs, overhead, and 90 days of lost productivity are still 100% at risk. And if the hire fails after day 91, you pay the full fee again.
Most recruiters offer a free replacement within 90 days if the hire doesn't work out. But the guarantee only covers the recruiter fee — your salary costs, overhead, and 90 days of lost productivity are still 100% at risk. And if the hire fails after day 91, you pay the full fee again.
Side-by-side comparison
| Traditional hire | Activated Scale | |
|---|---|---|
| Upfront recruiter fee | $0 | $0 |
| Time to productivity | 3–4 months | ~2–4 weeks |
| Benefits & overhead | $0 / year | $0 |
| Bad hire restart risk | $0+ | Swap anytime, no fee |
| Conversion fee | Already paid 20%+ | 18% on base salary |
| Total estimated risk | $0+ | Monthly fee only |
How we calculated this:
Recruiter fee = 20% of OTE · Overhead = 25% of base salary × ramp months ÷ 12 (50/50 base/variable assumed) ·
Ramp cost = (OTE ÷ 12) × ramp months × 50% lost productivity ·
Total = recruiter fee + overhead + ramp cost.
Restart cost shown separately = what you'd pay again if the hire fails.
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