Virtual Assistants are Independent Contractors and do not go through the same employment procedures that a full-time employee would have to undergo; rather you just pay them for services rendered. Certain formalities are still necessary to engage a Virtual Assistant, such as; a contract has to be signed by both parties which lists in detail each party’s responsibilities and expectations, also a reliable means of communication has to be established from the onset. Beyond these formalities, hiring a virtual assistant is much easier than hiring an employee.
The primary advantage is that you don’t need to pay taxes or create a benefits package for the Virtual Assistant. Since they are independent contractors, they are solely responsible for their own taxes and benefits. You don’t have to worry about payrolls, pensions, or other benefits such as medical insurance etc. It’s more cost effective than hiring a full time employee.
Virtual Assistants derive their income by being very productive and delivering value to their clients. They provide administrative support which in turn frees up your time to focus on the activities that bring in the most income for your business. Virtual Assistants understand that their revenue is totally dependent on the positive execution of their tasks unlike full-time employees who get paid a salary sometimes times regardless of their effort.
Most Virtual Assistants work from their homes thereby using their own office equipment, you don’t have to pay for office supplies,. Virtual Assistants shoulder such expenses. They have personal equipments such as; computers, printers, faxes and so on to use to provide services to you hence you don’t have to deal with buying or the maintenance of any such equipment.
Full Time Employee :
As you consider whether you want to hire full time employees, you’ll need to consider the downside as well. There are certain requirements that come with having employees:
Although it isn’t mandatory, most full time employees expect benefits, like health care and vacation time. As you interview potential candidates, they will most likely be interviewing with other companies as well, who offer such benefits. You’ll need to pay their salaries like clockwork, even if your business has a lull. In order to cover their paychecks, you’ll need to have a reserve of money in your bank account. You’ll have specific payroll paperwork that is legally required. Along with this, you’ll need to withhold your employees’ taxes, social security, and Medicare. You are responsible for your employees’ training and professional licensing requirements. These vary from state to state.
WHICH ONE IS BETTER :
Although the Virtual Assistant’s hourly rate is more than the employee’s rate in the first place, you save the cost of benefits and overhead that would have to be applied to the new employee’s wage. And, because Virtual Assistant’s are usually more experienced, more efficient, and better connected than the employee, you’ll need to devote far less time to the project to get the same results, only 480 hours a year versus 2,080 for the new employee.
Remember, with a Virtual Assistant, you only pay for the time on task by the minute! No more paying for socializing, hour long lunches or frequent trips to the washroom.
Your employee’s 8 hour day can be crunched into 3-4 hours with a Virtual Assistant.
Simply put, you should contract with a Virtual Assistant because it’s more cost-effective and Virtual Assistants go above and beyond the normal assistant’s duties to impact your own productivity. No task is too big or small for a Virtual Assistant to handle. Even if you only have 1 hour of work a month for a Virtual Assistant to do, a Virtual Assistant can (and will) do it.
Gyan is a web entrepreneur and the founder of G WEB, possessing a 3 + years experience as a freelancer. He has single-handedly completed hundreds of project from different clients across the world. He’s a smart and honest guy and fully equip with abundant experience in Web Development, Digital Marketing and Admin support.
G WEB is an Indian based virtual assistant services provider that serves clients all over the world in Web Developing, Digital Marketing & Admin Support.