Risk Assessment Consulting vs In-House Break-Even Calculator

Compare in-house workplace risk assessment with an actual Korean consulting quote over one to ten years and the same workers, processes, tasks, hazards, initial assessment, annual regular assessments, and user-planned ad hoc assessments. The dedicated bilingual calculator reuses one pure KRW function for process, task, hazard, meeting, documentation and follow-up person-hours, internal loaded hourly cost, training and tools, consulting quotes, travel, non-recoverable VAT, confirmed support, retained coordination and common improvement budgets. It reports total and annual economic cost, per-process cost, work weeks, internal-hour, total-hour and quote-subtotal break-even thresholds, while preserving employer responsibility and worker participation. The guide reflects Occupational Safety and Health Act Articles 36 and 175 in current MST 283449, Enforcement Rule Articles 37 through 37-4 in current MST 288431 effective August 1, 2026, and the current workplace risk-assessment guidelines checked August 14, 2026, without treating noncompliance or fines as an economic option.

Default hours and quotes are illustrative inputs for checking the math. Replace them with your process list, task inventory, worker participation time, loaded labor cost, and a written like-for-like proposal.

Assessment scope and schedule

Use the same workers, processes, tasks, hazards, and initial, regular, and ad hoc schedule for both models.

years

1 to 10 years

workers
processes

Use the actual assessment units: lines, departments, or work areas

tasks
hazards

Use existing registers, near misses, and walk-through evidence

per year

Year one is automatically zero when an initial assessment is included

per year

Reflect equipment, material, and work-method changes

KRW

Include pay, employer burden, and relevant overhead per person-hour

hours

Used to convert person-hours into equivalent workweeks

In-house hours and cash cost

Enter meeting time as total person-hours across every participant, not just elapsed meeting length.

hours
hours/process
hours/task
hours/hazard
hours

Example: 6 people × 2 hours = 12 person-hours

hours
hours
%

Relative to one full assessment

%

Relative to one full assessment

KRW
KRW
KRW

Consulting quote and retained internal work

Enter a written proposal aligned to the same scope, frequency, deliverables, site visits, and follow-up.

KRW
KRW
KRW
KRW
hours
hours
hours
hours

Common improvements, support, and tax basis

Keep corrective-action cost common to both budgets, and deduct support only after written confirmation.

KRW

Engineering controls, PPE, and work-method improvements

%

Use a tax-reviewed value; the default is 0%

KRW

Deducted only when status is confirmed in writing

3-year total economic cost comparison

In-house performance is cheaper with these inputs

In-house KRW 2,440,000 saved

In-house total

KRW 15,660,000

Consulting total

KRW 18,100,000

In-house hours

304 hours

Consulting internal hours

50 hours

In-house risk assessment

Lower now

KRW 15,660,000

Budget including common improvements: KRW 27,660,000

Cash cost
KRW 1,980,000
Internal person-hours
304 hours
Internal time cost
KRW 13,680,000
Economic cost per worker
KRW 522,000
Economic cost per process
KRW 2,610,000
Economic cost per hazard
KRW 261,000
Hours per full assessment
72 hours
Equivalent workweeks
25.33 weeks

External expert consulting

Option

KRW 18,100,000

Budget including common improvements: KRW 30,100,000

Cash cost
KRW 15,850,000
Internal person-hours
50 hours
Internal time cost
KRW 2,250,000
Economic cost per worker
KRW 603,333
Economic cost per process
KRW 3,016,667
Economic cost per hazard
KRW 301,667
Quote subtotal
KRW 14,500,000
Applied confirmed support
KRW 0

Key break-even thresholds

Each card holds every other input fixed and changes one variable until both total economic costs match.

Loaded internal hourly cost

54,606.3 KRW/hour

Consulting is cheaper above this internal hourly cost; in-house work is cheaper below it.

Total in-house person-hours

358.22 hours

Holding other inputs fixed, total in-house hours must be at or below this value to cost no more than consulting.

Consulting quote subtotal

12,060,000 KRW

Holding other inputs fixed, the consulting quote subtotal must be at or below this value to cost no more than in-house work.

Common corrective-action cost of KRW 12,000,000 is treated as necessary under either delivery model, excluded from the break-even difference, and added equally to both budgets.

Annual assessment schedule and budget

When an initial assessment is included, year-one regular assessment is not double-counted; the entered regular frequency starts in the following year.

Annual initial, regular, and ad hoc risk-assessment counts with in-house and consulting hours and costs
YearInitialRegularAd hocIn-house hoursIn-house costConsulting internal hoursConsulting costIn-house budgetConsulting budget
1102131.2 hKRW 7,164,00026 hKRW 9,120,000KRW 11,164,000KRW 13,120,000
201286.4 hKRW 4,248,00012 hKRW 4,490,000KRW 8,248,000KRW 8,490,000
301286.4 hKRW 4,248,00012 hKRW 4,490,000KRW 8,248,000KRW 8,490,000

Legal and operational checks before deciding

  • The employer is the statutory actor under Korean Occupational Safety and Health Act Article 36. A consultant provides support; performance, corrective action, worker participation, communication, and record duties do not automatically transfer.
  • Plan time and methods for worker participation in site walk-throughs under Article 37-2 and for communicating the schedule and results under Article 37-3 of the Enforcement Rule.
  • Assign an owner and repository for the date, responsible people, participants, and result records retained for three years under Article 37-4.
  • Amended administrative-fine provisions for nonperformance, participation, communication, and records phase in from 2027-01-01 or 2028-01-01, depending on workplace size. This calculator never treats noncompliance as a cost-saving option.
  • Do not select the lower-price option automatically. Review accountable competence, real capacity, scope-omission risk, corrective-action execution, follow-up verification, and response to unplanned ad hoc assessments.

South Korea 2026 guidance · primary sources checked 2026-08-14

Related calculators

What should a Korean workplace compare?

A consulting proposal is visible cash, while an in-house risk assessment often looks free because its labor is hidden inside payroll.
In-house work still requires process walk-throughs, task observation, hazard identification, worker participation, meetings, risk decisions, corrective-action planning, communication, documentation, and record retention.
Consulting does not eliminate internal work either: the workplace must prepare evidence, coordinate site access and workers, review deliverables, execute controls, and respond when an ad hoc reassessment is needed.

This calculator places both delivery models on the same scope: workers, processes, tasks, hazards, and the same initial, regular, and ad hoc assessment schedule.
It converts in-house person-hours and training or tool cash cost into KRW, then compares those amounts with written consulting quotes, travel, nonrecoverable VAT, and retained internal person-hours.
The result includes a one-to-ten-year economic cost, annual schedule, and break-even thresholds for loaded hourly cost, total in-house hours, and consulting quote subtotal.

Useful decision moments

  • Before assigning an owner for a new workplace or process initial assessment
  • While budgeting annual regular reviews and foreseeable change-driven ad hoc reviews
  • When a proposal seems expensive but internal capacity and loaded labor cost have not been measured
  • When public or supply-chain support may be available but approval and amount are not yet confirmed
  • Before negotiating a proposal using an evidence-based quote ceiling and internal hourly-cost crossover

Cost planning is not a compliance election

Nonperformance is never a comparison option in this calculator.
It does not add an expected administrative fine or accident loss to make a statutory duty look like an optional investment.
Hiring a consultant also does not automatically transfer the employer’s Korean Occupational Safety and Health Act Article 36 duties for performance, worker participation, communication, corrective action, and records.

South Korea’s current 2026 assessment sequence

Occupational Safety and Health Act Article 36, effective for this amendment on June 1, 2026, requires the employer to identify work-related hazards, decide whether risk is tolerable, and establish and implement measures to reduce the risk.
It also addresses participation by affected workers, participation by a worker representative upon request, communication of the schedule and results, and record retention.
Enforcement Rule Articles 37 through 37-4, effective August 1, 2026, provide the current detailed sequence, timing, participation, communication, and retention rules used as the boundary for this planner.

Current Korean risk-assessment rules and the corresponding calculator inputs
SourceCurrent rule boundaryCalculator input
Enforcement Rule Article 37(1)Identify hazards, decide whether risk is tolerable, and establish and implement measures for unacceptable riskProcess, task, and hazard review plus meeting, documentation, and follow-up hours
Enforcement Rule Article 37(2)Initial assessment before work first begins; at least annual regular assessment from the following year; ad hoc assessment before relevant work after specified triggersInitial toggle and annual regular and ad hoc counts
Enforcement Rule Article 37-2Worker participation in a workplace walk-through in principle, with survey, interview, or other methods available alongside itTotal person-hours for workers, supervisors, and other participants
Enforcement Rule Article 37-3Communicate the schedule before assessment and hazards, decisions, measures, and implementation results afterwardDocumentation and communication person-hours
Enforcement Rule Article 37-4Record timing, responsible people, participants, and results, and retain the material for three yearsRecord-owner hours and any company-specific tool or repository cost

Initial assessment

The current rule places it before work first begins at the workplace.

Regular assessment

It starts in the year after the initial assessment and occurs at least once every year.

Ad hoc assessment

It is required before relevant work where an additional hazard may arise or after specified accident triggers.

If the plan includes an initial assessment in year one, the calculator does not double-count a regular assessment in that year; the entered regular frequency begins in year two.
Actual ad hoc frequency depends on equipment, materials, procedures, near misses, and events, so refresh the planned count whenever the change-management pipeline changes.

Align scope before comparing price

A break-even result is only meaningful if both options promise the same work.
Comparing a complete in-house workplace assessment with a proposal for selected processes understates consulting cost, while comparing an end-to-end proposal with only in-house walk-through time understates internal cost.
Build one scope sheet and attach it to both the internal work breakdown and the request for proposal.

  1. Fix the physical and operational scope — identify workplaces, buildings, lines, processes, tasks, shifts, contractor work, and all reasonably foreseeable hazards included
  2. Fix assessment frequency — separate the initial review, annual regular reviews, foreseeable ad hoc reviews, and emergency additional work
  3. Fix participation — identify the employer representative, safety and health personnel, supervisors, affected workers, and worker representative participation
  4. Fix deliverables — define the hazard register, decision criteria, risk decisions, corrective-action plan, implementation verification, communication materials, and editable source files
  5. Fix follow-up — specify revisions, extra visits, post-control verification, ad hoc response, regulator-facing support, and exit handover
  6. Fix the money basis — align travel, expenses, VAT, confirmed support, separate measurement or inspection, equipment, PPE, and corrective-action work

Count real processes, tasks, and hazards

A process is not necessarily one department on an organization chart; use a separate unit where workflow and risk characteristics require distinct observation and review.
Count routine and nonroutine tasks, including cleaning, inspection, maintenance, replacement, start-up, shutdown, and abnormal-response work.
Build the hazard count from prior assessments, near misses, incident evidence, safety data sheets, equipment specifications, work-environment measurements, health examinations, and worker interviews.
The calculator deliberately does not estimate these counts because equipment, materials, traffic, shifts, experience, and simultaneous work differ even within the same industry.

Build a complete in-house hour estimate

Scope-driven review time

  • Walk-through, evidence review, and supervisor interview time per process
  • Observation, worker interview, and procedure comparison time per task
  • Evidence, decision, and documentation time per hazard

Common time for each full review

  • Total worker and management participation person-hours
  • Risk decision and corrective-action discussion
  • Result documentation, communication, quality review, and retention setup
  • Field verification that corrective actions were implemented

Meeting person-hours are frequently understated.
A two-hour meeting attended by six people consumes twelve person-hours for economic-cost planning, not two.
Do not reduce worker-participation time to make one option look cheaper; value the actual paid time of everyone expected to participate.

Loaded internal hourly cost is not merely an employee’s base hourly wage.
Use the company’s decision basis for pay, employer burden, benefits, relevant overhead, and opportunity cost of displaced work.
If several grades participate, calculate grade-specific person-hours and cost first, then divide total cost by total hours to obtain a weighted hourly value.

Regular and ad hoc effort percentages

A later review is not automatically shorter than an initial assessment.
The 60% regular and 30% ad hoc defaults are illustrative test values, not Korean legal standards or industry benchmarks.
Use 100% or more for a broad reassessment and an evidence-based lower percentage for a narrow equipment change.
A complex accident review or a major process change can require more work than the original full assessment.

Price consulting and retained work

A consulting budget may include more than one initial invoice.
Separate per-review prices for regular and ad hoc work, site-visit travel, additional shift coverage, revisions, and corrective-action verification.
If an annual advisory retainer includes assessments, document included counts and overage prices, then allocate the actual expected proposal amount into the relevant fields.

Consulting proposal and retained internal work checklist
Cost groupWritten evidence to obtainCalculator field
Professional feesScope and price for initial, regular, and ad hoc reviewsThree quote fields
Travel and expensesVisit count, location, transport, lodging, shift, and overtime treatmentExpense per assessment
Internal setupRFP, comparison, contract, access, security, and evidence handoverSelection and onboarding hours
Internal review workSite escort, worker coordination, evidence, review, and corrective-action executionInternal hours for each review type
Tax and supportVAT recoverability, approved amount, settlement conditions, and payment timingNonrecoverable VAT and confirmed support

Do not deduct unconfirmed support

The Korea Occupational Safety and Health Agency’s KRAS service provides consulting information and application routes, but eligibility, budget, application windows, and allocation can change.
A search result or an old program notice is not a confirmed receivable.
The calculator applies zero support while status is not checked or under review, even when an amount has been typed.
Change status to confirmed only after written evidence, and note that the applied amount is capped at external cost rather than converted into profit.

Cost equations and thresholds

In-house economic cost

Full-assessment hours add process, task, and hazard work to meeting, documentation, communication, and follow-up hours.
Regular and ad hoc hours multiply the full-assessment hours by their entered effort percentages.
Total economic cost adds loaded internal labor to initial training, tool setup, and annual tool or reference cash cost.

Consulting economic cost

Quote subtotal adds the initial fee and every regular and ad hoc fee over the horizon.
Travel and nonrecoverable VAT are added, and only confirmed support is deducted up to external cost.
The model then adds loaded internal labor for selection, onboarding, evidence, site work, coordination, and review.

Core equations

In-house total = in-house cash + in-house hours × loaded hourly cost

Consulting total = net external cash + consulting internal hours × loaded hourly cost

Hourly-cost break-even = (net external cash − in-house cash) ÷ (in-house hours − consulting hours)

In-house-hour break-even = (consulting total − in-house cash) ÷ loaded hourly cost

Hourly-cost threshold

Where in-house work uses more internal hours, consulting becomes cheaper above this loaded hourly value and in-house work is cheaper below it.

In-house-hour threshold

It shows the maximum total in-house person-hours that cost no more than consulting at the current hourly value and proposal.

Quote-subtotal threshold

It shows the maximum combined professional-fee subtotal after holding travel, VAT, confirmed support, and retained internal work fixed.

A break-even value is not a lawful minimum effort level or a fair market price.
It is only the mathematical point where cost is equal while every other input stays fixed.
Never reach the threshold by deleting worker participation, field observation, hazard scope, communication, records, or corrective-action verification that the actual assessment requires.

Read the three-year example

The default example uses a fictional Korean workplace with 30 workers, 6 processes, 24 tasks, and 60 hazards.
Year one includes one initial and two ad hoc assessments; years two and three each include one regular and two ad hoc assessments.
Loaded internal cost is KRW 45,000 per hour, and every hour and quote is an illustrative input rather than a government schedule or market benchmark.

Three-year in-house and consulting example results
MetricIn-houseConsultingInterpretation
Total internal person-hours304 hours50 hoursAbout 25.33 and 4.17 workweeks at 12 available hours per week
Cash costKRW 1,980,000KRW 15,850,000Training and tools versus proposal and travel cash
Internal labor costKRW 13,680,000KRW 2,250,000Each option’s internal hours multiplied by KRW 45,000
Total economic costKRW 15,660,000KRW 18,100,000In-house is lower by KRW 2,440,000
Budget with common controlsKRW 27,660,000KRW 30,100,000KRW 4,000,000 per year added equally to both

KRW 54,606 per hour

This is the loaded internal hourly-cost break-even.
In-house is cheaper below it and consulting is cheaper above it, with other inputs fixed.

358.22 hours

This is the total in-house-hour break-even.
Actual in-house hours must be at or below it to cost no more than the current consulting model.

KRW 12,060,000

This is the professional-fee quote-subtotal break-even.
With travel and internal work fixed, the combined quote must be at or below this amount to match in-house cost.

The lower in-house result does not recommend in-house performance for every workplace.
If competent personnel cannot free 304 person-hours before the required timing, or if specialized hazards are likely to be missed, capacity and quality become more important than the KRW difference.
Conversely, a proposal that delivers a completed form but excludes worker participation, corrective-action execution, editable evidence, and follow-up is not the same output merely because retained hours are low.

Practical operating scenarios

Consulting for setup, in-house for repetition

A workplace with limited experience may use an expert for initial criteria, templates, training, and field coaching, then operate regular and ad hoc reviews internally.
The calculator compares all-in delivery models, so model a hybrid by running a first scenario for the initial consulting phase and a second for later in-house operation.
Confirm editable deliverables, training, methodology explanation, and a defined question period in the consulting contract.

Manufacturing with frequent changes

Equipment, material, and procedure changes make ad hoc frequency and effort a major economic driver.
Count the prior twelve months of change records, near misses, incidents, and maintenance interventions, then request the consultant’s emergency response price and lead time.
Even with strong internal capability, targeted expert review for a particular chemical, machine, or process hazard may be more appropriate than complete outsourcing.

Multiple sites and contractor work

Combining several sites into one process count can hide travel, shift, simultaneous-work, and contractor coordination.
Separate site walk-throughs and each employer’s scope, then reflect coordination in process, task, meeting, and travel inputs.
This planner does not determine principal and contractor duties or professional-institution status, so obtain current Korean safety and legal review before contracting.

Similar cost but insufficient capacity

When the gap is within 5%, modest estimation error can reverse the ranking.
Divide total internal hours by weekly available capacity and verify that work can finish before initial work or relevant changed work begins.
If capacity is unavailable, assign more personnel, change the implementation schedule, or obtain external support even when the nominal in-house total is slightly lower.

Limits and cautions

  • The calculator does not identify hazards, select a method, decide risk level, or determine whether risk is tolerable
  • Default hours, quotes, travel, training, and tool cost are fictional examples rather than legal or market benchmarks
  • Lower economic cost does not prove assessment quality, legal compliance, consultant competence, or control effectiveness
  • It does not decide separate Korean duties such as process safety reports, work-environment measurement, hazard-prevention plans, or professional appointments
  • The VAT field is a cash-planning assumption and does not decide taxable status or input-tax recovery
  • Support eligibility, allocation, approval, and settlement are not automated; only a written confirmed amount is deducted
  • Accident probability, injury loss, insurance effects, recognition benefits, and administrative fines are not treated as investment returns
  • Corrective-action cost is common to both models; if control scope differs, realign the comparison before using the ranking

Amended Article 175 administrative-fine provisions related to risk assessment phase in from January 1, 2027, or January 1, 2028, depending on workplace size and the construction-project threshold described in the statute’s implementation note.
This timing does not make nonperformance a valid low-cost option before either date.
Recheck current statutory text, workplace-size application, official guidance, and enforcement practice at the time of the decision.

Frequently asked questions

Does consulting discharge the employer’s duty?

No.
An external expert may support the process, but the employer remains the statutory actor under Article 36.
Worker participation, risk decisions, corrective action, communication, and records do not automatically transfer through a service contract.

Does the calculator provide an average consulting price?

No.
Price depends on industry, sites, processes, tasks, hazards, visits, shifts, measurements, deliverables, and follow-up scope.
Obtain two or three written like-for-like proposals and enter the actual values.

Whose time belongs in meeting person-hours?

Include every actual participant: the employer representative, responsible manager, safety and health staff, supervisors, affected workers, and worker representative where involved.
Six people attending for two hours equals twelve person-hours.

Can expected public support be entered immediately?

Type it for scenario tracking if useful, but keep status as not checked or under review until written confirmation.
The calculation deducts support only when status is confirmed because eligibility, budget, timing, allocation, and settlement conditions can change.

Why can regular frequency be set to zero?

The input permits a deficient budget plan to be inspected, but the calculator displays a warning.
Current Enforcement Rule Article 37(2) requires at least one regular assessment every year starting in the year after the initial assessment, so review the actual schedule with a qualified professional.

Why is corrective-action cost excluded from the break-even difference?

Controls for the same identified risk are needed whichever delivery model performs the assessment.
The calculator adds common controls equally to both budgets but leaves them out of the delivery-model price difference.
If one option produces a different control scope, align scope before comparing cost.

Should the lower-cost option be selected automatically?

No.
Confirm that competent people can provide the required hours before statutory timing, identify specialist hazards, involve workers, execute controls, and preserve evidence.
Cost is one decision dimension, not a compliance or quality score.

Primary sources and update boundary

Primary text was checked on August 14, 2026, through the Korean National Law Information OPEN API and official Ministry of Employment and Labor and KOSHA pages.
The Act record is law ID 001766, current MST 283449; the Enforcement Rule is law ID 007364, current MST 288431.
The Workplace Risk Assessment Guidelines were checked as administrative-rule sequence 2100000251014, Ministry of Employment and Labor Notice 2024-76, as a supporting procedural source.

Revisit the calculator whenever the Act, Enforcement Rule, administrative guidelines, KOSHA support terms, or the workplace’s actual scope changes.
In particular, recheck the 2027 and 2028 administrative-fine phase-in, current support notices, workplace-size treatment, and construction-project thresholds at the time of the decision.

Start with real time records and written proposals

Collect in-house hours from recent task registers, walk-throughs, and meeting records, then request a consulting proposal for exactly the same scope.
Use cost as one input, confirm timing, competence, worker participation, corrective-action execution, and follow-up, and assign the accountable owner and next assessment date.