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Reduction-in-Force Modeler

Calculate the full cost of a workforce reduction — severance benchmarks, WARN Act guidance, and break-even analysis.

Why This Matters

Workforce reductions are one of the highest-stakes decisions a business owner makes — and they usually make them without the right numbers.

When a client says they need to cut costs, the first instinct is headcount. But most owners don't model the full picture: severance, COBRA, potential litigation exposure, the productivity loss from the remaining team, and — critically — how long until the savings actually exceed the separation costs.

A poorly timed or sized reduction can cost more in year one than it saves. A well-structured one can transform the financial trajectory of the business. The difference is the analysis.

💡 Your moment: When a client is considering layoffs, the accountant who shows up with a break-even analysis, a severance cost model, and a WARN Act flag is the one who gets called before the decision is made — not after. That's the difference between an advisor and a historian.

Step 1 — Workforce Details

Used to assess WARN Act thresholds

Step 2 — Severance Policy

Step 3 — Additional Separation Costs

How many months will you cover COBRA premiums?
Career coaching, resume services. SMB avg: $1,500–$3,500/person
Employment counsel, WARN Act review, separation agreements

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