Day-to-day time consuming tasks like adding listings to MLS or managing closing paperwork can really bog down your day. We often justify getting caught up in these tasks by telling ourselves “It’s easier to just do it myself than teaching someone else to do it.” As long as you continue to choose to do the things that can be hired out for less, the longer you will continue earning admin like wages. The moment you allow yourself to delegate is the moment you move yourself up the pay scale to do the more sophisticated, revenue generating tasks! Having employees dedicated to specific tasks ultimately result in work being done quickly and more efficiently.
Let’s breakdown of how hiring an assistant can increase your income:
If you work 50 hours/week and 50 weeks/year, it would equate to you working a total of 2500 hours/year. If you made $50,000 last year. Your hourly wage comes out to $20 an hour.
However, if you now hire a part-time Administrative Assistant who can complete your 15 hours/week of admin work in 10 hours/week at $15 an hour. This Admin Assistant will cost you a total of $7,500 a year.
Your new annual income with the addition of an administrative assistant is now $42,500 ($50,000 Annual Income – $7,500 Admin Salary). But you are now saving 750 hours of admin work (15 hours/week x 50 weeks) and working a total of 1,750 hours/year. When you calculate your new hourly wage, you are now making $24.29 a hour! You just gave yourself a $5 an hour raise! It may be worth it to train an admin after all.
Even more importantly, you have now freed yourself up to focus on revenue generating activities, resulting in more productivity and income over the years. It’s unlikely you are going to take the time off so now you are working for $24.29 an hour for a full 2,500 hours/year which equals $60,725 annually! That’s a $10,000 a year raise!
Now YOU decide if building your team is worth it!
By Mark Porter