The Financial Benefits of Remote Employees

A question that might have repeatedly come back to mind is 'How can I cut costs for my small business?'

Finding smart ways to reduce expenses will not only help your business recover in the short-term, but it will also mean leaner, more profitable operations in the years to come.

One result of our communities' efforts to "flatten the curve" was an unprecedented wave of remote work. For some businesses, their services, business model, and technology made it an easy transition. For others, it meant abandoning certain products or services and innovating to maintain cash flow.

Save on Office Space Costs

The most obvious benefit to a remote workforce is the ability to downsize to a smaller office space — or even no office space at all. Rent and utilities are often the largest fixed expenses for many businesses. To reduce the size needed for your office, you could allow some employees to work remotely full-time, or offer rotating work-from-home days combined with a hot-desk policy.

Productivity Boost

A two-year study by Stanford professor Nicholas Bloom found that remote employees had a productivity boost equivalent to a full day's work when compared to their in-office counterparts.

And that's not all: telecommuters also had lower employee attrition (by 50 percent!), took shorter breaks, had fewer sick days, and spent less time on vacation.

Miscellaneous Savings

Think about all the costs that go into keeping your office going. Stocking up on break room necessities, replenishing office supplies, and replacing office furniture adds up. With fewer employees or less hours in the office each month, you can cut down on these expenses.

A Tempting Benefit for Hiring

Incorporating remote work into your operations can be a tempting benefit when hiring — one that doesn't cost you extra to offer. In fact, 34 percent of employees are willing to take a pay cut in exchange for remote work.

An Investment in Retention

When employees must relocate for personal reasons, you can lose a valuable member of the team. By implementing a remote schedule for trusted employees, you ensure their career with your company doesn't end when life happens.

Studies show significant financial and productivity benefits to a partial or complete remote workforce. Could your business save money by incorporating remote work? The financial experts at Revo Taxpayer Advocacy help small businesses like yours cut costs and increase profits through sound financial strategy.