If you have started looking into hiring a virtual assistant and thinking “why are they so expensive” then read on!
You may think my rate is high in comparison to the cost of employing an administrator or even outsourcing to another country for some typing, but my hourly rate is based on my skills, experience, expertise and training I have received, as well as taking out the relevant insurances and policies to protect both myself and my clients.
So let’s look at the comparison of hiring an administrator versus using the services of a virtual assistant.
The average UK salary for an administrator is £21,348 (source Reed website February 2017). If you employ them for 35 hours a week that’s £11.72 an hour.
Looking a better prospect so far? Let’s dig deeper!
If you use a recruitment agency to source the candidate, the average charge for placing the employee is 20% of the annual salary; so in this case that’s £4,269.60 going to the agency.
What about Employer’s National Insurance? That’s another 12% of their annual salary £2,561.76, plus their pension, say 3% of their annual salary £640.44.
We’re now up to £28,819.80 a year for employing someone, making the hourly rate go up to £15.84 (how did that happen?!)
Hang on a minute. There are actually only 252 working days in 2017 so the hourly rate based on the number of working days is £16.34.
But remember, your new employee will want to take some much deserved time off, so say 28 days holiday, and don’t forget the average 6.5 days they are going to take off sick. Now we are down to 217.5 working days, with an hourly rate of £18.93.
Wait, don’t forget of those 7 hours you are paying them to work everyday, they will take coffee breaks and comfort stops, so more like 6 hours of actual work – £22.08 an hour.
And don’t forget about the equipment you will need to supply – the desk, PC, monitor, keyboard, chair, stationery etc, as well as the software licenses, insurances, other benefits, arranging training and dealing with payroll and any HR related issues!
Note: This comparison is based on the role of an administrator on an average UK salary of £21,348. If you were looking to employ a secretary, that’s £26,501 per annum, and £31,941 for a PA.
I am a PA who made the transition to become a VA. Do you still think I’m expensive?
If you are looking to outsource to a virtual assistant, why not take advantage of my free one hour no obligation consultation and see how I could help free up your time. Call 07538 715537 or email firstname.lastname@example.org