How Much Does A Virtual Assistant Cost Vs A Full-Time Employee?

Hiring decisions are rarely made in a vacuum.

As businesses grow, workloads increase, responsibilities expand and administrative demands begin to compete with higher-value work. At that point, many founders and leadership teams face a practical question:

“Should we hire a full-time employee or is there a more flexible way to get support?”

On the surface, this often becomes a cost comparison.

A full-time role feels familiar. There is a salary, a job description and a clear sense of ownership. A Virtual Assistant, by contrast, operates under a different model – one that does not always map neatly to the traditional thinking of employment. This can make the decision harder than it needs to be. In many cases, businesses compare:

• Salary vs monthly fee
  
• Office-based vs remote support
• Employee vs external resource

What is often missing from this comparison is the true cost of employment.

Beyond salary, hiring a full-time employee in the UK involves employer National Insurance, pension contributions, recruitment costs, equipment, office space, paid leave and ongoing management time. These costs are rarely visible upfront, but they materially affect the long-term cost of a hire.

Virtual Assistants remove many of these overheads, but that does not automatically make them cheaper in every scenario.

The real difference lies in how support is structured, paid for and used over time. Understanding which option is more cost-effective requires looking beyond job titles and focusing on the total cost of support, not just headline figures.

This article breaks down:

• The real cost of employing a full-time team member in the UK
  
• How Virtual Assistant pricing models differ from employment
  
• Where cost savings typically come from and where they do not
  
• How to determine which option makes financial sense for your business

By comparing these models side by side, the aim here is to provide a clear, practical framework for making an informed decision. All based on how modern businesses actually operate, rather than assumptions about how support “should” look.

The most useful way to frame this decision is not salary versus monthly fee, but salary versus total cost of ownership. Salary reflects what a role costs on paper. Total cost of ownership reflects what it actually costs to employ, support and maintain that role over time. Understanding this distinction is key to making a meaningful comparison.

The Short Answer: Virtual Assistant vs Full-Time Employee

For many UK-based businesses, a Virtual Assistant costs less than a full-time employee once total employment costs are considered.

This is because businesses pay only for productive support rather than employer National Insurance, pension contributions, recruitment costs, office space, equipment and ongoing employment risk. 

Exact savings vary by role and workload, but many businesses see overall cost reductions of up to 40% compared to in-house hires.

The True Cost Of A Full-Time Employee In The UK (2026)

The salary advertised on a job description is only part of the picture.

When hiring a full-time employee in the UK, employers are responsible for a range of additional costs that are often underestimated.

Typical costs of a Full-Time Employee

Beyond salary, employers usually pay for:

• Employer National Insurance contributions
  
• Workplace pension contributions
  
• Recruitment fees or advertising costs
  
• Paid annual leave and bank holidays
  
• Sick pay and statutory leave
  
• Training and onboarding time
  
• Office space, utilities, and equipment
  
• Software licences and IT support
  
• Management time and HR administration

These costs apply regardless of how busy the employee actually is.

Example: The Real Cost Of An Admin Or Executive Role

Salary expectations have increased in recent years, particularly for experienced support roles.

Typical UK ranges (2026):

• Administrative Assistant: £24,000 – £32,000
  
• Executive Assistant / Senior PA: £36,000 – £46,000+
  
• London and specialist roles: often 20 – 50% higher

Here is an illustrative cost breakdown for a mid-range support role:

• * Employer National Insurance contributions (15% from April 2025, according to GOV.UK)

• ** Workplace pension contributions (minimum 3% on qualifying earnings)

And this all assumes:

• The hire is successful
  
• There’s no extended sick leave
  
• No replacement or re-hiring costs

In practice, many businesses spend more than expected once all factors are accounted for.

How Much Does A Virtual Assistant Cost?

A Virtual Assistant is not employed by your business.

Instead, you pay a fixed monthly fee for a defined level of support, without taking on employment risk or overhead. With a managed UK-based Virtual Assistant agency like Virtalent, this typically includes:

• A dedicated Virtual Assistant
  
• Ongoing performance management
  
• Replacement cover if needed
  
• No recruitment fees
  
• No employment liabilities
  
• No office or equipment costs

What You’re Paying For

Rather than paying for time spent employed, you pay for:

• Productive support hours
  
• Defined responsibilities
  
• Continuity and accountability
  
• Support that scales with your needs

This structure removes many of the hidden costs associated with in-house hires.

Virtual Assistant Vs Full-Time Employee: Cost Comparison

How To Calculate The True Cost Of Support For Your Business

To compare a Virtual Assistant with a full-time hire meaningfully, businesses need to look beyond job titles and salary figures and focus on how support is actually used in practice.

A practical way to assess cost is to work through the following steps.

1. Estimate realistic workload

Start by assessing how much support is genuinely required on a weekly basis. 

Many businesses default to hiring full time when actual demand is closer to 20 – 30 hours per week. 

This gap between perceived and real workload is one of the most common drivers of unnecessary cost.

2. Apply total employment costs, not just salary
   Once workload is understood, apply the full cost of employment to any salary figure. 

This includes employer National Insurance, pension contributions, recruitment costs, equipment, software, office overheads and management time. 

These costs exist regardless of how busy the role is.

3. Account for underutilisation
   Full-time employees cost the same during quiet periods as they do during peak demand. 

If support needs fluctuate month to month, underutilised capacity becomes an ongoing expense rather than a short-term issue.

4. Factor in risk and replacement
   Turnover, extended absence, or a poor-fit hire can introduce additional cost through lost productivity, rehiring and onboarding. 

These risks are often underestimated when evaluating permanent roles.

5. Compare against flexible support models
   Virtual Assistant costs are typically structured as fixed monthly fees aligned to output and capacity rather than headcount. 

This allows businesses to scale support up or down without taking on long-term employment obligations.

Working through this framework often reveals that the apparent simplicity of a full-time hire masks a much higher and less flexible total cost.

Why Virtual Assistants Are More Cost-Efficient In Practice

Cost savings aren’t just about removing line items from a budget.

They’re also about how support is used day to day.

With a Full-Time Employee:

• You pay the same amount regardless of workload
  
• Quiet periods still incur full costs
  
• Changing responsibilities can require retraining or restructuring

With a Virtual Assistant:

• Support adjusts as priorities change
  
• You’re not locked into underutilised capacity
  
• Work can scale without long-term commitment

This flexibility is especially valuable for:

• Founders and executives
  
• Professional services firms
  
• Agencies and consultancies
  
• Businesses with fluctuating workloads

Does A Virtual Assistant Replace An Employee?

Not always, and that’s a distinction to consider carefully.

A Virtual Assistant is most effective when the business needs:

• Executive support
  
• Operations and admin management
  
• Client and stakeholder coordination
  
• Ongoing assistance without full-time demand

In many cases, businesses discover they don’t actually need a full-time hire, they need reliable, judgement-led support without the complexity of full-time employment.

This is where Virtual Assistants consistently outperform traditional hiring models on both cost and flexibility.

When A Full-Time Hire Still Makes Financial Sense

While Virtual Assistants offer significant cost and flexibility advantages in many scenarios, there are situations where a full-time hire remains the more appropriate choice.

A permanent employee may make financial sense when:

• Workload is consistently full time
  If support demand is predictable, sustained and exceeds 35 – 40 hours per week, the cost difference between flexible support and employment may narrow.
  
• The role requires on-site presence
  Positions that depend on physical access to premises, equipment or in-person interaction may not be suitable for remote support.
  
• The role is highly specialised or regulated
  Certain roles require deep institutional knowledge, formal accreditation or regulatory oversight that is best handled internally.
  
• Long-term internal progression is essential
  If the role is designed as part of a structured internal career path, a permanent hire may offer better continuity.

The key distinction is not whether one model is “better”, but whether it aligns with how the business actually operates. 

For many modern, remote-first organisations, flexibility and scalability are more valuable than permanent headcount. For others, a traditional hire remains the right decision.

Common Cost Assumptions That Distort Hiring Decisions

Hiring decisions are often shaped by assumptions that feel intuitive, but do not always hold up under closer scrutiny.

“Salary is the main cost.”

Salary is the most visible cost, but rarely the most accurate indicator of what a role will cost over time. 

Employer contributions, infrastructure and management overheads can materially increase total spend.

“We will grow into the role.”

Many businesses hire full time in anticipation of future growth. 

When growth takes longer than expected, they are left paying for capacity they do not yet need.

“Freelancers and Virtual Assistants are the same.”

Hourly freelancers, ad-hoc contractors and managed Virtual Assistant services operate under very different models. 

Conflating them can lead to inaccurate cost and risk comparisons.

“Full-time means more reliability.”

Reliability comes from structure, accountability and continuity, not employment status. 

Flexible support models can deliver consistency without the rigidity of headcount.

These assumptions often push businesses toward higher fixed costs than necessary, particularly during periods of change or uncertainty.

Why Managed Virtual Assistant Services Cost Less Than You Expect

One reason businesses overestimate VA costs is because they compare them to hourly freelancers rather than managed services.

With Virtalent, support is:

• Structured
  
• Integrated into your workflows
  
• Managed for quality and continuity

You’re not paying to “find someone”. You’re paying for ongoing operational support that works.

This removes:

• Trial and error hiring
  
• Replacement downtime
  
• The cost of a poor fit

All of which are common and expensive issues with in-house recruitment.

So, What’s Cheaper In The Long Run?

If you’re only comparing salaries, a Virtual Assistant might not look cheaper at first glance.

If you compare total cost of ownership, the difference becomes clear.

In the UK, many businesses find that Virtual Assistants materially reduce overall overheads compared to employing a full-time, in-house team member.

That saving comes from:

• No recruitment fees
  
• No employer NI or pension contributions
  
• No office or equipment costs
  
• No employment risk

And importantly, no loss of support quality.

Is A Virtual Assistant Right For Your Business?

The right choice depends on:

• The level of support you actually need
  
• How predictable your workload is
  
• Whether flexibility or permanence matters more

For businesses looking to control costs without sacrificing operational support, Virtual Assistants offer a compelling alternative to traditional hiring.

If you’re exploring UK-based Virtual Assistant services that combine flexibility with professional, judgement-led support, Virtalent can help you assess the right model for your business.

Frequently Asked Questions

Is a Virtual Assistant cheaper than hiring a full-time employee in the UK?

In many cases, yes. 

Once employer National Insurance, pension contributions, recruitment costs and overheads are included, Virtual Assistants often represent a lower total cost. 

Exact savings depend on role scope and workload.

What is the average cost of a Virtual Assistant in the UK?

Costs vary based on experience and support level. 

Managed Virtual Assistant services are typically priced as monthly packages rather than hourly rates, providing predictable costs and ongoing support.

Do Virtual Assistants replace executive assistants?

Virtual Assistants can provide executive-level support for many responsibilities, particularly where work is remote and coordination-focused. 

Some roles still require in-person presence.

Are Virtual Assistants suitable for confidential or sensitive work?

Yes, provided appropriate controls and processes are in place. 

Many businesses use Virtual Assistants for executive, financial and client-facing support.

How quickly can businesses see cost savings?

Cost differences are often apparent immediately when comparing monthly support costs to employment overheads. 

Longer-term savings increase as flexibility reduces underutilisation and hiring risk.

Can Virtual Assistant support scale as a business grows?

Yes. One of the primary advantages of virtual support is the ability to adjust capacity as needs change, without restructuring or rehiring.