Total Rewards fragmentation happens when your employee benefits, compensation, and perks are scattered across multiple disconnected systems and spreadsheets. This makes it hard for employees to see their full package value and creates costly inefficiencies for HR teams.

Common signs include: employees asking basic questions about their benefits, HR spending hours creating custom compensation statements, benefits going unused because people don’t know about them, and data living in multiple systems that don’t talk to each other.

The calculator uses standard cost estimation formulas based on HR industry benchmarks. Results will vary based on your specific inputs and organizational factors. Use it as a directional tool to understand potential fragmentation costs. We recommend validating the outputs with your finance and HR teams for your business case.

You need six data points: number of regrettable employee departures, their average salary, your discretionary benefits budget, estimated unused benefits percentage, monthly HR admin hours, and HR cost per hour. Most of this comes from your HRIS and payroll systems.

Only count regrettable departures – employees you wanted to keep who chose to leave. Exclude retirements, layoffs, performance terminations, and relocations since these aren’t preventable through better Total Rewards communication.

The fastest way is implementing a unified Total Rewards platform that connects all your existing systems. This eliminates manual work, increases benefits visibility, and improves employee retention, typically reducing fragmentation costs by 50-70% in year one.

You can make small improvements with benefits wikis and email campaigns, but these manual workarounds still require significant HR time and don’t solve the root problem. Most organizations find the time spent on workarounds exceeds the cost of a proper solution.

Semos Cloud’s Total Rewards Hub is a unified platform that consolidates all your employee compensation, benefits, equity, and perks data into one personalized employee experience. It integrates with your existing HR systems to eliminate fragmentation while keeping your current tech stack intact.

Your HRIS stores employee records and manages HR processes, it’s the system of record. Total Rewards Hub is the engagement layer that makes compensation and benefits visible, understandable, and personalized for employees. They work together, not as replacements.

Benchmarking tools provide external market data to help HR set competitive salaries. Total Rewards Hub shows employees their complete personalized compensation package. Most companies use both: benchmarking informs strategy, Total Rewards Hub communicates it to employees.

When employees can easily see their complete compensation value, including often-hidden benefits like employer 401k match, learning budgets, and wellness programs, they’re less likely to leave for a higher base salary elsewhere. Visibility drives retention.