Glossary
FTE (Full-time equivalent)
A standardized unit of work effort representing one full-time worker over a given period.
FTE, short for full-time equivalent, is the standard unit planners use to compare workloads across people with different schedules. One FTE equals one person working a full schedule for the period in question. Two people each working half time count as one FTE. The unit normalizes part-time, contract and full-time staff into a single number that can be added, divided and compared cleanly.
The hours behind 1.0 FTE depend on the organization. A common baseline in North America is 2,080 hours per year, or 40 hours per week for 52 weeks. Studios that account for vacation and statutory holidays often use a lower productive number, such as 1,760 or 1,800 hours per year. Whichever baseline an organization picks, the rule is to apply it consistently across all capacity reports.
Related: utilization rate, allocation, bench time.
Last updated: 2026-05-13