Losing employees is expensive; especially when those individuals are highly-trained, integral parts of your company structure, like your bookkeeper. Unfortunately, bookkeeping is a high turnover position in many businesses.
Estimates show that the cost to replace an employee can be anywhere from one-half of their annual salary (for unskilled or entry-level workers) up to five times the annual salary and benefits for a c-level executive. That’s right—it’s incrementally even more expensive to replace better paid, trained employees. So if you lose an employee making six figures, it can cost more than half a million dollars to replace them.
With these figures, you can estimate that it could cost at least one hundred thousand dollars to replace a qualified, trained, and certified bookkeeper.
Let’s look at some of the costs of employee turnover amongst your bookkeeping staff.
- Recruitment costs: Includes advertising, recruiting agencies, background checks, reference checks, drug tests, costs of your HR staff time, and more.
- Hiring costs: Possible increase in salary, training time, possible bonuses, time and costs to process paperwork for new employees
- Intangible costs: Loss of company morale, concerns over trustworthiness of new employees, time required for a return-to-full-productivity in the department
Online Accounting Services: Your Affordable Solution
When you use AccountingDepartment.com for your outsourced accounting services, you won’t face any of these costs or issues. Our staff of full time W-2 bookkeepers has a very low turnover rate; and if your full-charge bookkeeper does leave, it’s our responsibility to appoint a new bookkeeper for your business.
At AccountingDepartment.com, we handle:
- Testing
- Background checks
- Hiring
- Training and certification
The high cost of employee turnover is just one reason more small-to-medium sized businesses are turning to outsourced accounting services for their professional bookkeeping needs.
