Let’s Talk HR Costs

In the world of business, every dollar counts, and the decision between hiring a full-time HR professional or opting for consulting services is a financial fork in the road. It’s not just about numbers on a balance sheet; it’s about what those numbers mean for your company’s growth, flexibility, and long-term success.

Imagine you’re budgeting for the future—do you invest in the steady reliability of a full-time HR employee, complete with salary, benefits, and overheads? Or do you choose the agile, on-demand expertise of HR consultants, paying only for what you need, when you need it? Each path has its merits, but understanding the true costs is key to making the right decision for your business.

  • Salary: A full-time HR manager can run you $70k-$120k per year. With consulting, you pay for the expertise you need, when you need it—no salary, no benefits, no problem.

  • Benefits: Health insurance, retirement plans, PTO—it all adds up. For an in-house employee, expect to tack on another 30% in benefits.

  • Taxes and Overheads: Payroll taxes, office space, training—it’s more than just a paycheck. With consultants, these costs disappear into thin air.

  • On-Demand Services: With a consultant, you pay only for the services you use. Need a new policy or training session? You’re billed for the project, not a yearly salary.

  • No Hidden Costs: In-house HR can come with hidden costs—like ongoing training, software licenses, and equipment. Consultants bring their own tools and expertise, so there are no surprises.

  • Hiring and Turnover Costs: The average cost to hire and onboard a new HR employee is about $4,000. With consultants, there’s no hiring or onboarding process, saving you time and money.

  • Flexibility in Services: Your HR needs might change throughout the year. Consultants offer the flexibility to scale services up or down based on your current needs, so you’re not locked into a fixed cost