Training ROI Calculator
Calculates the return on investment of training programs by comparing the cost of training against measurable improvements in employee performance or output. Computes payback period and per-employee impact to guide learning and development investment decisions.
HR - Training ROI Calculator.xlsx
Excel (.xlsx) — No macros — Works in Excel, Google Sheets, LibreOffice
What This Spreadsheet Solves
- Training budgets are approved without expected ROI
- No way to measure whether training improved performance
- Cannot compare ROI of different training programs
- Payback period for training investment is unknown
- L&D teams lack data to justify budget requests
Who This Is For
- Learning and development managers
- HR directors allocating training budgets
- Department heads evaluating training effectiveness
- Finance partners reviewing L&D spend
Inputs
- textTraining Program Name
- $Total Training Cost
- #Number of Participants
- #Pre-Training Output / KPI
- #Post-Training Output / KPI
- $Value per Unit of Output Improvement
Outputs
- Training ROI percentage
- Total value of performance improvement
- Cost per participant
- Payback period in months
- Per-employee productivity lift
How Calculations Work
Performance improvement is Post-Training Output minus Pre-Training Output, multiplied by the dollar value per unit. Training ROI is (Total Improvement Value - Total Cost) / Total Cost * 100. Payback period divides total cost by monthly improvement value. Per-employee impact is total improvement divided by participant count.
Example Use Case
Scenario: A sales training program costs $15,000 for 10 reps. Average monthly deals before training: 4 per rep. After training: 5.2 per rep. Average deal value: $3,000.
Result: Improvement: 1.2 deals/rep/month = $3,600/rep/month. Total monthly value: $36,000. Annual value: $432,000. ROI: 2,780%. Payback period: 0.4 months. Per-employee lift: $43,200/year.
What You Get — 5 Sheets
Technical Details
Frequently Asked Questions
How do I isolate the impact of training from other factors?
Use the attribution percentage in CONFIG to credit only a portion of improvement to training. A common default is 60-70% to account for other influences.
What KPIs should I measure?
Use the KPI most directly affected by the training: sales closed, tickets resolved per hour, error rate, or any quantifiable output.
How long after training should I measure?
Wait 30-90 days for behavioral changes to take effect. Measuring too soon may understate the impact.
Can I include indirect benefits like employee satisfaction?
The model focuses on quantifiable output. Indirect benefits should be noted qualitatively but are not included in the ROI calculation.
What if performance decreases after training?
The model will show a negative ROI and negative improvement value. This is a valid outcome that indicates the training was not effective.
Download Training ROI Calculator
Ready to use immediately. Enter your data in the INPUT sheet, see results in OUTPUT.