When every place I've ever worked figured their TOTAL cost of labor per employee, along with actual earned wage they include their cost for employee benefits plus the employer's 1/2 of employee's F.I.C.A., whatever % they contributed to employee's 401K, AND Workman's Comp / A&S costs. (Self employed have to pay 100% of their F.I.C.A. as well as all their own benefits and extras)
Several years back a local business man told me it cost him over $1k in required fees just to hire his own sister to work for him at his business. This was all before she even could clock in and go on the payroll.
