Regardless of what type of business you are in, chances are you need your office, warehouse or other facility cleaned on a regular basis. For many companies, this means hiring an in-house cleaning staff. Before you post a help-wanted ad, however, it is worth considering outsourcing your janitorial services to an independent company instead who has the license for building maintenance. The primary benefit of hiring a janitorial service is that it can save you a lot of money on payroll.
Each time you hire an employee, there are a number of related expenses above and beyond their salary that you have to consider. For one thing, you have to contribute one half of their Social Security and Medicare tax. This comes out to more than 7%, depending on the current tax rate. Additionally, you have to pay for unemployment insurance and workers compensation insurance, both of which can add to the expense of having an employee. When you add them all together, these extra costs can increase your payroll expenses by as much as 30%.
When you hire an outside company to take care of your janitorial services, on the other hand, all of these extra expenses go away. The company that employs the cleaning staff is responsible for paying their taxes and insurance, letting you off the hook. That means that even if the cost of the service is higher than what you would pay to an in-house staff, chances are it will still be lower than the total payroll costs once you add in all of the extra expenses.
Outsourcing janitorial services offers quite a few other money-saving benefits as well. For instance, you don’t have to invest in cleaning equipment or supplies since most services bring their own. It also eliminates many administrative costs associated with managing extra employees, freeing up time for your other staff members to focus on more important tasks.
In the long run, hiring a janitorial service can help you save on payroll. It can also help reduce associated costs for your business. Just be sure to choose a company that has an excellent reputation. Additionally, crunch the numbers to make sure that the price you are paying for services truly is lower than what you would have to pay for payroll, supplies and equipment, and administrative expenses. As long as the cost is lower, you can be sure that you are spending your money wisely and minimizing expenses for your company.