Outsourcing Benefits
Cost reduction
Outsourcing your Paraplanning needs can be an ideal way to reduce the running costs of your Financial Planning business. You will no longer be required to fund superannuation guarantee contributions, annual leave, sick leave and ongoing training costs of an internal full-time Paraplanner.
Professional onshore team
Our team are all highly experienced and qualified Paraplanners who reside in Australia, ensuring your client information or SOA tasks will never be sent offshore. Our team conduct internal quality assurance reviews of all work completed, prior to being sent back to you.
Our main objective is ensuring you have a quality, compliant document to present to your client. By ensuring the document flows well and can be read and understood easily, we allow Advisers to focus on their role in this vital part of the Financial Planning process.
Time efficiency
In the current legislative environment, the emphasis on compliance results in hours of time spent ensuring each SOA you produce meets all standards. Outsourcing a time-consuming task such as modelling or advice creation gives you more time to focus on your core business activities.
Our team prepare advice documents in short time-frames, which is not always possible if you are relying on a small team (or even yourself) to produce these documents in-house.
Superannuation
$7,507
$3,000
Payroll tax & insurance
$6,913
$79,017
In-house Paraplanner true cost analysis
Leave entitlements
$14,158
Workstation & study
$110,595
True cost
Average salary of an experienced Paraplanner
Superannuation - You are required to pay the Super Guarantee rate of 9.5%, equating to $7,507.
Leave entitlements - You are effectively paying $79,017 for 48 weeks of work in the year, meaning the correct annualised wage for the employee is another $6,585. You also have sick leave, which is generally 10 days per annum, equating to approximately $3,293. There are also usually 13 public holidays in Australia each year, adding another $4,280.
Payroll tax & insurance - Payroll tax is payable in each state when you pay over a certain threshold in wages. Queensland for example has a threshold of $1,100,000 and a rate of 4.75%. While you may not have passed the threshold, if you are planning on expanding your business it is something you should account for. Looking at our example, this would equate to another $3,753. Compulsory workers compensation varies depending on the industry you’re in but can be in excess of 15% of the total annual wages. For our example, we will use 5%, which is another $3,162.
Workstation & study - Keeping in mind that these aren’t all the costs associated with employing someone, you also need to take into account ongoing training and professional development, office space, stationary, computers, office furniture, staff amenities and staff benefits.
We have outlined a cost-benefit example below, however please get in touch for a tailored analysis.