Cost Benefits of Working Remotely
Workplace flexibility and the ability to work remotely is one way the pandemic has permanently changed the world we live and work in. Technology like video chatting, instant messaging, and new apps enable us to stay connected on a professional level and conduct meetings, conferences, and projects from anywhere in the world. Working remotely can be beneficial to employees and employers, even after we have emerged from this pandemic.
According to Forbes, the benefits of working remotely can be divided into five categories:
● Productivity - 35-40% increase in productivity
● Performance - 40% less quality defects in work
● Engagement - 41% fewer absences
● Retention - 54% of employees say they would change jobs for one that is more flexible
● Profitability - 21% more profitable
How Working Remotely Benefits Employees
Working remotely benefits employees in many ways, particularly not having to commute. The average commute in the U.S. is 27 minutes, twice a day. On top of the time it takes, commutes and traffic increase levels of stress and anxiety. Added stress and anxiety can make workers unhappy, depressed, and predisposed to chronic health conditions. Not having to commute also saves employees lots of money throughout the year. People who work from home only half the time report saving up to $6,500 per year on gas, car maintenance, parking, tickets, and public transportation.
Working from home gives workers more freedom, allowing them to manage their everyday life and responsibilities around work-tasks, potentially without having to take time off. This boosts engagement and productivity; most workers will admit they can get more done in a few hours at home than they would in an entire day at the office. This is more than just a productivity boost, though. In a sense, it's a pay raise. If you spend less time doing the same amount of work you are paid to do, your hourly wage increases.
How Working Remotely Benefits Companies
Expanding the option to work remotely depends on whether or not it is financially beneficial for companies to do so. Working remotely unequivocally saves businesses money because it reduces the cost of running a business. With fewer workers in office, they no longer have to pay as much in overhead like utilities, office space, or real estate. According to Global Workplace Analytics, a company can save $11,000 per year, per employee who works from home.
There is also a positive environmental impact for employers who offer remote work. Less people commuting means less greenhouse gas emissions, and decreased consumption of fossil fuels. According to the EPA, 29% of the US’s greenhouse gas emissions in 2017 came from transportation, most of which are passenger cars. Global Workforce Analytics estimates that if everyone with an office job worked from home only half the time, we’d reduce emissions by 54 million tons per year, doing our part to slow climate change.
Going forward, offering employees the option to work remotely will make companies more competitive. With increased productivity, efficiency, and a better work-life balance, businesses who work remotely will attract top talent, and it could mean the difference between retaining employees or not.
On the topic of working remote, you can even handle your finances and bookkeeping remotely. If you're looking for someone to handle your bookkeeping, without all the hassle and in-person commitments of traditional bookkeeping, consider virtual bookkeeping. Virtual bookkeeping saves you plenty of time, both up front and in the long run. There is no need to hire or train someone, and you don’t have to stay on top of them to make sure they’re doing the work correctly. Virtual bookkeepers also use more efficient software than you could acquire in-house. This speeds up the process, and lets you use your time on more pressing matters.
Interested? GritForce Bookkeeping is here to help companies do what they do best! They provide a virtual bookkeeping service, personalized for small businesses and non-profit organizations. GritForce works with you to get your books in order so you can focus on your main priorities. Their goal is to assist you to understand your financial position, enabling you to make smarter, informed decisions.