How Would the Loss of a Key Employee Affect My Business?

      • The Value of Key Employees

      • My Business

      • My Key Employee Profits

      • My Key Employees

      • Your Results

      The Value of Key Employees

      You already know how important your employees are to the success of your business. What you may not have thought about is how much the contributions of certain key employees are worth to your business—whether it's their creative genius, sales acumen, or leadership role. And, as you can see, key employees don't necessarily have to be members of your management team, but could very well be a partner or even yourself.

      It's important to understand the value of key employees and the impact that losing one of them could have on your business. Use our calculator to help determine the financial value of your key employees, then learn how you can help protect your bottom line. Info

      2 to 5 mins to complete

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      For this planner, make sure you have your business’s tax return from last year and a list of your assets and their worth.

      My Business

      First we'll need to know a little about your business. This helps us determine the profit generated by the key employees at your company, based on your industry's average return on assets (ROA).

      What's the industry sector that best describes your business?
      		Info

      What was your business's average gross profit over the past 3 years?

      		 (no commas) Info

      What is the value of your business's estimated short-term assets?

      		 (no commas) Info
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      We're asking this question so we can look up the average Return on Assets (ROA) for your industry. This way, we can give you a more accurate calculation as to how much of your business's profit comes from your key employees rather than your industry.

      My Key Employee Profits

      Businesses in your industry, , have an average return on assets of . Info

      With your average gross profit of and short-term asset value of , the estimated amount of profit you can attribute to your key employees as a whole is . Info

      Total profit attributable to key employees:

      $4,822,250

      Average Gross Profit

      $5,000,000

      Less Return on Assets

      Now that we've estimated how much profit your key employees generate as a group, let's look at each one of your key employees and the impact they have on your profits.

      My Key Employees

      To help determine the impact specific key employees have on your profits, we'll need you to share some information about each one.

      Employee Name

      Annual Profit Attributable to EmployeeInfo

      Years Needed to Fully Replace EmployeeInfo
      <%= index %>

      percent

      $0

      		 Remove Content TEXTtest
      Add An Employee

      Your Results

      The chart below shows the estimated amount of profit attributable to each of your key employees.

      Protect Yourself Against the Loss of a Key Employee

      If the loss of one or more of your key employees would take a significant bite out of your profits, it's worth thinking about taking steps to protect your bottom line.

      Get started by finding a MassMutual Financial Professional today or call now at 1-800-654-5987.

      Attributable Profits

      Key Employees

      Profit Attributable to Employee

      Years to Replace Employee

      Estimated value of key employee
      Edit Responses

      This interactive calculator is made available to you as a self-help tool for your independent use and is not intended to provide financial advice. We cannot and do not guarantee its applicability or accuracy in regard to your individual circumstances. Examples are for illustrative purposes. We encourage you to seek personalized advice from a qualified financial professional regarding all personal finance issues. MassMutual will assume no liability for the use of or reliance on this calculator.

      Insurance products issued by Massachusetts Mutual Life Insurance Company (MassMutual), 1295 State Street, Springfield, MA 01111-0001 and its subsidiaries C.M. Life Insurance Company and MML Bay State Life Insurance Company, 100 Bright Meadow Boulevard, Enfield, CT 06082.
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