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Case Study

Virtual Assistant Versus Full-Time Employee Cost Comparison
When companies consider outsourcing processes or tasks to a virtual assistant, one of the first things they discover is the significant cost savings virtual assistants offer over traditional employees. As all employers with payrolls are painfully aware of, the base wage they pay their employees is only a portion of their actual cost. When you include federal and state payroll taxes, FICA, insurance benefits, vacation pay, equipment, office space and training, the “real” cost of an employee can be over twice their “base” pay. Aside from payroll itself, employee benefits are one of the biggest cash drains on businesses both small and large.

By using the services of a virtual assistant from Maryland Secretarial Services, Inc. (MSS), all you pay is our very reasonable hourly rate. Since our VA’s are our employees, we pay for all of the costs associated with their employment.

Because our virtual assistants are always on task, they save you time and money. Whereas you might need a traditional employee full-time, you might only need a virtual assistant only 4 hours a day. See the startling savings below for yourself.

Compare Costs Pay Rate Yearly Pay Overhead Cost "Actual" Annual Wage
Full Time Employee

$16 / hour employee @ 40 hours/week = $640 per week

x 52 weeks

= $33,280

+ 30% Overhead of $9,984

$43,264

Employee on Salary

$34, 000 per year salaried employee

x 1 year

=$34,000*

+ 30% overhead of $10,200

$44,200

MSS Virtual Assistant $30/hour @ 20 hours per week = $600 per week x 1 year

= $31,200

ZERO $31,200

MSS Annual Cost Savings
vs $16 per Hour Employee

$12,064

MSS Annual Cost Savings
vs $34K Salaried Employee

$13,000

* see rate chart at http://www1.salary.com/Secretary-I-Salary.html

Additional Costs of In-house Employees

These cost savings only deal with wages. What about all the other costs associated with hiring full-time employees? When employees are “on the clock” what are you really paying for? How many of these unproductive and costly habits do your employees practice?

  • Frequent socializing
  • Running personal errands on company time
  • Prolonged Internet surfing
  • Late to arrive/early to leave
  • Personal phone calls and emails