Being in the virtual staffing business, we are often asked, “why should I hire a virtual assistant and how would it benefit me?” The answer is simple: you will save money (nearly 50 percent) and time.

I don’t think it’s any secret that when an employee is in the office 40 hours a week, that they are not actually working all of those hours. They have numerous distractions a day from children and spouses calling to chatting with their coworkers. A study by Basex, a New York research firm, found that office distractions total 2.1 hours a day for the average employee – more than 10 hours and 25 percent of a regular workweek. That doesn’t even take into account the amount of time an employee spends on personal tasks at work. That is time that the employer is paying them for. With virtual staffing, you only pay for the exact amount of time your virtual employee works.

In addition, you don’t pay for office expenses such as utilities, desk, chair, computer, and the office space itself.

Then there are benefits expenses including, vacation time, sick time, and insurance coverage. With virtual staffing, the virtual employee (who is an independent contractor) is responsible for those costs. With a virtual employee, you pay for their hourly rate and reimburse for any costs incurred for the job (mailing costs, etc.)

As you can see from the charts below, hiring a virtual employee is extremely economical for your company.

Wage $15/hour x 40 hr/week

= $31,200/year

Social Security (.062 x 31,200)

= $1,934/year

Medicare (.0145 x 31,200)

= $452/year

Workers comp (.15 x 31,200)

= $4,680/year

Sick time 1 week/year

= $600/year

Vacation time 2 weeks/year

= $1,200/year

Health Insurance Average

= $7,800/year

FUTA (.008 x 7,000)

= $56/year

Cost of hiring According to Business Week

= $3,270/year

Office distractions*

= $8,190 per year

Office utilities $300 per month

= $3,600/year

Computer Computer for the assistant

= $1,000

Desk and chair Modest desk and chair

= $700

Add’l phone line Phone line install & monthly charges

= $1,300

Office space Moderate office $900/month

= $10,800/year


= $73,782 per year


= $35.47 per hour

*A study by Basex, a New York research firm.

Wage $6.23/hour x 40 hr/week

= $11,964/year

Social Security N/A Independent Contractor

= $0

Medicare N/A Independent Contractor

= $0

Workers comp N/A Independent Contractor

= $0

Sick time N/A Only Pay for Time Worked

= $0

Vacation time N/A Only Pay for Time Worked

= $0

Health Insurance N/A Independent Contractor

= $0

FUTA N/A Independent Contractor

= $0

Cost of hiring One Time set-up fee

= $199

Office distractions* Working from home there are no office distractions

= $0

Office utilities N/A Independent Contractor – they pay their own utilities

= $0

Computer N/A Independent Contractor – they buy their own computer

= $0

Desk and chair N/A Independent Contractor – they buy their own desk and chair

= $0

Add’l phone line N/A Independent Contractor – they pay for their own phone

= $0

Office space N/A working from home

= $0


= $12,163/year



When all is said and done, you spend nearly double the amount for an in-house employee than for a virtual one.

Time is money. Hire a virtual employee and save on both.

Virtual Assistant For Real Esate provides virtual assistance for real estate agents as well as all small and home-based businesses. Request a free no-obligation Virtual Assistant quote.