Workers' Comp Cost Calculator
Enter your annual payroll and the kind of work your team does to see a realistic premium range, computed the same way carriers rate policies.
Reviewed by Guido Trevisan, Licensed Property & Casualty Insurance BrokerUpdated July 20, 2026
Estimated premium
$250 to $1,000
per year
- Monthly equivalent
- $21 to $83
- Rate per $100 payroll
- $0.10 to $0.40
How your class compares
Estimated annual premium at the same payroll
Ranges reflect typical filed class rates nationally. Pick your state above for a state-adjusted estimate.
How workers' comp premium is calculated
Every workers' compensation policy prices from the same formula: annual payroll divided by 100, multiplied by the rate filed for your classification code, multiplied by your experience modifier. Class codes matter enormously. A clerical employee (code 8810) might rate at $0.10 to $0.40 per $100 of payroll while a roofer rates at $8 to $15, which is why the same payroll can produce premiums that differ by 50x between businesses. New businesses start with an experience modifier of 1.0, and it falls below 1.0 after a few claim-free years.
FAQ
How is workers' comp premium calculated?
The universal formula is annual payroll divided by 100, times the filed rate for your class code, times your experience modifier. Payroll and class code do most of the work, which is exactly what this calculator models.
How much is workers' comp per $100 of payroll?
Clerical work runs about $0.10 to $0.40 per $100 of payroll while roofing can run $8 to $20. Most main street businesses land between $1 and $5 depending on state and class.
What is a class code?
A three or four digit code that groups jobs by injury risk, like 8810 for clerical office work. Your carrier assigns one to each type of work you do, and each code carries its own filed rate in your state.
Do sole proprietors need workers' comp?
In most states sole proprietors with no employees are exempt but can elect coverage. The moment you hire your first employee, nearly every state requires a policy, and general contractors often require proof from subs regardless.
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