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Practice Standard Calculating FTEs

Definitions:

FTE stands for full time equivalent.

An FTE is the equivalent of one person working full time:

8 hrs./day
X 5 days/week
X 52 weeks/year
= 2080 hours/year

Examples:

  • 1 person working full time = 1 FTE
  • 2 people each working 4 hours per day, 5 days per week = 1 FTE

Tips:

  • FTEs does NOT mean number of employees.
  • An FTE value stays the same over time (except when you adjust your usual staffing pattern). Do not multiply it by days, weeks, or months.

How to Do It:

1. If you know your total number of labor hours for one year: Divide by 2080. This is your FTEs.

Example: Your department's total labor hours as reported to payroll for Jan. - Dec. 1998 were 13,104.

13,104 ÷ 2080 = 6.3 FTEs.


Alternate Method:

If you know your total number of labor hours for one month: Divide by 173.33. This is your FTEs.

Example: Your department's total labor hours as reported to payroll for May 1999 were 3,600.

3,600 ÷ 173.33 = 20.77 FTEs.


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