Every full-time marketing hire carries a set of costs that never appear in the job posting but land squarely on the company’s P&L. Understanding the full picture is essential before comparing the cost of a full-time hire against a fractional engagement — otherwise the comparison isn’t apples to apples.
Payroll taxes and statutory costs
Employer-side payroll taxes (Social Security, Medicare, unemployment insurance) typically add 7-10% on top of base salary in the U.S., before any voluntary benefits are added.
Health insurance and benefits
Employer-sponsored health insurance, dental, vision, 401(k) matching and other standard benefits commonly add another 12-20% of base salary for a mid-to-senior marketing hire, depending on plan generosity and company size.
Paid time off — the cost of unworked days
Fifteen to twenty vacation days plus five to ten sick days is standard for a senior marketing hire. That’s roughly 20-30 paid non-working days a year — 8-12% of the working calendar — that the company pays for without corresponding output.
Recruiting and hiring costs
Executive search fees for a senior marketing hire commonly run 20-25% of first-year salary. Even without a search firm, the internal time cost of screening, interviewing and closing a senior candidate is substantial — often 40-80 hours of leadership time across a hiring cycle.
Turnover risk
Average tenure for marketing leadership roles has shortened industry-wide; when a hire leaves after 18-24 months, the recruiting and ramp-up cost effectively repeats, compounding the total cost of ownership further.
None of this makes full-time hiring the wrong choice — at the right scale, it’s absolutely the right choice. But the comparison against fractional marketing should always use the fully loaded number, not the base salary. Our ROI calculator walks through this exact math with your own figures.