Skip to main content
All calculators
Cost calculator

What candidate fraud costs you in a year

Two numbers, two costs: the interview time your team burns on candidates who were never real, and the sanctions penalty you owe if a fraudulent remote hire turns out to be a sanctioned worker. Diopter catches the impostor on the live interview, before the offer.

01

Your hiring pipeline

All external applications your team receives in a year. Drives wasted interview time.

Remote roles you actually hire in a year. Drives the OFAC sanctions exposure.

Model assumptions
Applications fraudulent30%
Fraud apps reaching interview5%
Recruiter cost$60/hr
Hiring manager cost$90/hr
Remote hires fraudulent6%
Fraud hires sanctioned5%
Detection lag5 months
Violations / hire10
Penalty / violation$377,700
P(enforcement)15%
Share these values

Send this link to a colleague — it loads the calculator with the same values you entered.

Estimated annual costMedium risk
$207K

$20K wasted interview time + $187K expected OFAC exposure. Modeled range $20K$1.3M (operational floor to a full enforcement year).

From pipeline to exposure
Applications / year20,000
Look fraudulent (30%)6,000
Reach a live interview (5%)300
Remote hires / year110
Turn out fraudulent (6%)6.6
Any that are sanctioned trigger OFAC5% of those

Illustrative estimates based on public reporting, government data, and modeling assumptions. Not financial, legal, or security advice.

OFAC sanctions exposure
up to
$3.8M
per sanctioned hire

About 6.6 of your 110 remote hires a year turn out fraudulent, and any that are sanctioned workers trigger OFAC strict liability: you owe it even without knowing. Each pay period they are paid is a separate violation, up to the $377,700 statutory maximum each, with no cap on the total. About 10 pay periods (~5 months) on payroll is up to $3.8M for a single hire.

One hire, statutory max (10 × $377,700)$3.8M
Gross exposure (before enforcement odds)$1.2M
Expected / year (× 15% enforcement)$187K

The expected figure weights the maximum exposure by the ~5% chance a fraudulent hire is sanctioned and the ~15% chance enforcement lands. Actual penalties follow OFAC's enforcement guidelines (they scale with the payments involved and whether the conduct is egregious), so a real case can land anywhere from far less to the maximum. There is no cap on the aggregate.

Wasted interview time
$20K

About 30% of your 20,000 applications are fraudulent, and 5% of those reach a live interview: 300 fake interviews a year at about $66 of recruiter and hiring-manager time each.

Fraud interviews prevented300
Recruiter hours150
Hiring manager hours120

Want a tailored breakdown?

Run a Diopter risk test above and a team member will follow up with a breakdown tailored to your pipeline, plus an optional authorized impersonation simulation against your interview process.

Methodology

Two costs, two inputs.

Applications per year drive the first, everyday cost. A share are fraudulent, a share of those reach a live interview, and each one burns recruiter and hiring-manager hours on a candidate who was never real.

Remote hires per year drive the second, more serious cost. A small share of remote hires turn out fraudulent, and a share of those are sanctioned workers. Hiring one is a strict-liability OFAC violation: penalties accrue for each pay period on payroll until detection, which we model at about ten bi-weekly pay periods, roughly five months. We probability-weight that exposure by the odds of an actual enforcement action, so the annual figure is an expected value and the gross exposure is higher.

The headline is the sum of the two. The range runs from the guaranteed operational floor at the low end to a full enforcement year at the high end. Diopter's role is detection, not watchlist screening: we flag the synthetic or impostor candidate live, before the offer, which is what prevents the hire that creates the exposure.

This calculator produces illustrative estimates based on public reporting, government data, and modeling assumptions. It is for educational planning only and does not constitute financial, legal, insurance, or security advice.

FAQ

Hiring fraud cost, answered.

More calculators

Assess your defenses in depth with the Deepfake Hiring Fraud Calculator, or browse all Diopter risk calculators.

View all calculators
Walkthrough · 30 min · NDA-safe

Walk an attack arc with Diopter.

In 30 minutes, we will replay a real deepfake incident, show the signals Diopter would score, and map the verdict your team could act on.