Are you all things to all people in your business?
Are you at a cross roads and considering whether you expand or just keep going the way you have because it’s just too hard to think about employing someone?
… Or you simply don’t have an office space where anyone could even work if you could afford someone?
Take a look at the analysis below which outlines costs of employing a fulltime person on a basic reception wage:
- Basic Wage. The minimum award wage for an adult over the age of 21, first year full time or part time receptionist/administration clerk. In this case the award rate is a base salary of approximately $35,000. It is worth noting the hourly rate is calculated at approximately $17.50.
- Superannuation. As we all know any employer must currently pay super at a rate of 9.25% of the salary. In this case a salary of $35,000, the employee super entitlements would be $3,237.50 for the year.
- Annual Leave is in most cases 4 weeks per year. And we highlight the fact that you are really only paying the base of $35,000 for only 48 weeks work per year.
- The annual leave cost would be $2,900.00; plus
- Let’s not forget to include the possibility that you will more than likely cover that absence and pay someone at a casual rate let’s say for the same level employee would be approximately $4,000.00
- Public Holidays. We love our public holidays in Australia so much that we need 10 each year. Let’s add $1,400.00.
- Sick Leave. Most awards allow for 10 days sick leave per annum so add another $1,400.00.
- Workers Compensation Insurance. This rate is highly dependent on the element of risk in the industry and can range from 5 – 15%. For our example, let’s use 5%, so that’s at minimum we need to add a further $1,750.00.
So employing our level 1 receptionist on minimum award wage of $35,000.00 just turned into a $50,000.00 employee! We are not even taking into consideration Payroll Tax or the cost of recruiting and training your employee. These two elements alone could easily attract a cost in excess of $8,000.00.
To add salt to the wound you may also need to improve the infrastructure of your business premises in order to employ new people such as computers, desks, user licenses or even rent office just so you can provide a workspace.
So we have clearly demonstrated the costs in employing a person in an administrative role and perhaps given some food for thought when it comes to considering why you may decide to engage a service provider such as Executive Republic.
The solution may be that you consider appointing a temp agency, a virtual assistant or even automated messaging service. All these can be a reasonable alternative to employing a full time person but is it the answer to increasing your productivity? Will you end up with more work in the long run with possible inconsistency in people and the fact that they know nothing about you or the specific needs to your business?
Executive Republic is committed to adding value, we will be fully invested in your business and assist in providing the solution for you to be able to get on with what you do best – running your business.
HOW WE HELP
Whether you are at a critical point of your business growth and need office support, or are spending too much time returning missed calls from potential clients, Executive Republic can help you take charge of your business growth.
Our highly experienced team members have the skills of an Executive Assistant, Sales Coordinator and Receptionist all rolled into one, negating the need for 3 separate employees. You can safely hand over those tasks that are tying you down and stopping you from getting on with the job.
- We will always be local, never offshore
- Our assistants are fully invested in the role, becoming an extension of you and your business keeping your client feeling connected and having faith in your ability to provide your service or product.
- Our sophisticated technology and investment in our people gives you exclusive service.
- Flexible and tailored services to meet your growing business needs