The True Cost Of Salary WagesSalary wages. There are many costs often overlooked when recruiting a new staff member. How much will your new staff member really cost you? As business owners we often work long hours for months on end. When we start to see a profit we wonder if we should invest this profit in an extra pair of hands to make life a little easier on ourselves. Before you make the decision to hire someone let's look at the real cost of recruitment.
Your Legal ResponsibilitiesAs an employer you have legal responsibilities to your employees to ensure that they:
You also have a duty of care to provide a safe working environment and a legal obligation to provide workers compensation to your staff in the event of a workplace related accident, illness or injury. For more information about workers compensation, please visit Workcover in your State or Territory. Can You Afford Additional Business Deductions?The real cost of recruitment is not just the salary or wage. There are the entitlements and insurances that you need to provide. Also if you lack the time, expertise or inclination to process the paperwork yourself then you will incur the added cost of having to pay a bookkeeper to set it all up for you.The Final DecisionThe bottom line, excuse the pun, is that while many new businesses experience growth, often quiet rapidly, they will not maintain it if they do not employ staff to help them.Consider your current situation and your long term plans. Strike the balance that best fits your business now and for the future. from Salary Wages back to Finances
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Your new business is underway. After months (and sometimes years) of effort for what seems like no return you finally start to turn a profit. Business is going well.
You begin toying with the idea of hiring another set of hands to help you. But you're unsure. Can you afford to take the plunge?
