Each year you go through the same list of activities at the beginning of the year: cleaning up files, conducting audits, policy and procedure review, retention and destruction activities, etc. These are the activities HR Pro’s think about when the New Year begins. So how do you get it all done?
Perhaps you are an HR Department of one or you are a business leader or owner who does HR or Accounting activities on the side.
Regardless of what your situation is, time is the one thing we never seem to have enough of.
Fortunately there are some great resources out there that will allow you to continue to focus on your key responsibilities and give you peace of mind that the “To-Do” list is being taken care of.
Why outsourcing?
We are the one stop back office outsourcing provider. Whether it is HR, Payroll, or Accounting, we’ve got you covered. Luxa can partner with you to ensure those task lists get completed on time every time. We offer outsourcing for one-time projects as well as outsourcing entire back office functions in the areas of accounting, HR, and payroll.
Here’s the best part. We are very affordable! Most of our clients experience a decrease in overall costs when outsourcing certain functions. Secondly, you’ll have an entire team of people working with you. We are experienced professionals in each area of focus. Imagine having the expertise and knowledge of a veteran in the industry for a fraction of the cost.
Outsourcing vs Hiring
So let’s do the math. We want to compare the cost of outsourcing vs. hiring someone. In order to calculate the cost of hiring a full-time employee, there are four things to keep in mind: wages, benefits and taxes, overhead, and time and effort.
1. Wages
Wages are the most straightforward costs, but they do vary, depending on where the business is located and whether you will need an entry-level professional or more of a seasoned pro.
2. Benefits and Taxes
Benefits—including health insurance, vacation, payroll taxes and retirement—are commonly used to compare your company against another when a job seeker is deciding to take a job. Though it could be difficult for a small business to compete in this area, many companies use a straight percent applied against an employee’s wages ranging from 20%-30% as part of their compensation packages.
3. Overhead costs
Overhead costs are comprised of equipment, office space, supplies, and other items needed for the employee to perform their job. All this, with the addition of the time and effort it takes to hire, train, and manage the employee, ultimately amounts to a hefty sum. Say your new employee has a $32,000 yearly salary. With all the extra costs, as mentioned above, that increases the amount your business is actually paying up to $80,000.
Outsourcing just one of those positions could save considerable time and money. Money you could use to fund other projects or programs. So check us out today for those single projects that you haven’t had time to do and for your full service Accounting, HR and Payroll outsourcing needs.
