Tomorrow is Tax Day! Have you filed your taxes yet? If you are a small or big business owner, you may wish you had employed more telecommuters. Don’t believe us? Ohio University gathered data on how telecommuting can save businesses money. Here’s what they found.
Companies that let at least 100 employees spend at least half of their work time working from home can save $1 million on various expenses each year. In fact, letting just a single employee work from home can save a business $10,000 per year. With these numbers, it is no surprise that telecommuting increased by 79% from 2005 to 2012.
There are a number of financial benefits of businesses that incorporate telecommuting as it opens more opportunities to generate revenue and save money. A Stanford University study found that telecommute workers are 13% better at making the most of their time compared to traditional employees. This is not the only way companies win from telecommuting however, as businesses can scale back in multiple ways.
Voss Capital is betting on a housing market boom
The Voss Value Fund was up 4.09% net for the second quarter, while the Voss Value Offshore Fund was up 3.93%. The Russell 2000 returned 25.42%, the Russell 2000 Value returned 18.24%, and the S&P 500 gained 20.54%. In July, the funds did much better with a return of 15.25% for the Voss Value Fund Read More
Implementing telecommute work allows companies to expand their pool of recruits and reap the benefits of hiring across the globe and using talent remotely. By doing so these companies will also reduce the need for travel, resulting in less company expenses. Thanks to advancements in technology, holding interviews, training, meetings, and conferences are all possible in a virtual setting through internet and video. This strategy also provides drastic savings for businesses by cutting back on travel expenses. Businesses can also cut costs by reducing expenses like office space, supplies, utilities, and employee accommodations.
Besides cutting costs at the office, telecommuting creates more productive workers. This increased production puts money in the business’s bank account. For example, American Express telecommute employees took more calls and produced 43% more potential business than in-office employees. Alpine Access credits their telecommute workers for drastic improvements in their business as well. Their home-based workers increased sales by 30% and decreased complaints from customers by 90%!
In addition to saving money on supplies and overhead costs, you can also save on employee salaries. Depending on the position, some companies can offer per piece rates, lower per hour rates, or rates without consideration for benefits. Workers are more likely to accept non-conventional payment terms in exchanges for the flexible work setting because of their shared saving benefits. Telecommute employees can save around $6,800 a year by not having to commute to work, buy lunch, and pay other out-of-pocket expenses associated with traveling to the office.
Telecommuting can be a financial and lifestyle benefit for businesses and employees if done right. Overall, businesses stand to gain from keeping up with the innovative trends of increasing telecommuting. To learn more about the ways telecommuting can save your business money, checkout the full infographic by Ohio University below.
How Telecommuting Can Save Businesses Money On Tax Day
Infographic source: onlinemasters.ohio.edu