Want to save money? Work remotely.
While there are many benefits of remote work, the value individuals gain varies. This shouldn’t come as a surprise.
That said, one benefit of remote work that receives universal praise are the cost savings. As both a company and an individual you can save money — here are a few great examples we’ve been able to gather:
Big picture cost savings
According to studies referenced by Turning, the U.S. has tons of cost-savings potential. They shared the fact that on a yearly basis the US could save:
- $20 million in gas
- $64 billion in barrels of oil
- 54 million tons of greenhouse gas emissions
- 119 billion miles of driving on highways
If workers whose jobs were remote-compatible worked remotely for half of the time.
But what do those numbers mean for you?
Great question! Here are some of the ways remote work might give you more money in your pockets…
Say goodbye to them. They don’t exist anymore! According to CNN depending on where you live, that could mean saving anywhere from $2,600-to-$4,500 every year! Remote work also eliminates any travel time you waste — you actually have more time [to work] and more money.
Don’t take public transportation? That’s fine! According to Strongtowns, you’ll save $725/mile per year if you account for wages lost per mile. Since you’ll be driving your car less, you’ll also maintenance costs — a perk of less wear-and-tear. Flexjob’s shared that remote workers often receive car insurance discounts. By becoming ‘low-mileage drivers’ more discounts become available to you.
Food & Drink Costs
This will vary person-to-person, but let’s consider the average co-located worker.
- 3x meals out a week at $15 per meal
- 5x coffees every week at $4 per cup
On the whole, that would mean $65 a week or $3,380 per year. If you’re someone who is already buying food or coffee for home, that’s $3,380 in your pocket.
Depending on the culture of your co-located job, you could be wearing a suit and tie every day! The BLS states that as of 2017 the average consumer spends $1,833 on clothing. Flexjob’s operated on the assumption that 1/2 of this money would go to work-related clothing. This means that the average working professional might spend $917 per year.
Flexibility Has a Cost Benefit
While flexibility is a huge advantage to remote work on its own, it also serves as a way to gain cost benefit. While this might seem a bit off the beaten path, being able to craft your own hours/days can be beneficial in many ways:
- You can walk your pets, and forego the cost of having to pay someone to do it for you
- Watch after your children during or after school, and cut out the need for a babysitter (in some cases)
- Get a cheaper flight, or travel time, without the fear of missing “a days work” (you build your own schedule!)
- Go to your favorite store when they have a sale, don’t miss it
These are only a few examples of the flexibility in remote work offers. There are countless scenarios, many of which I can’t account even guess, that would see you benefit.
And what does it mean for your company?
As a company, the benefits of remote work stems from the powerful, global, team you can build. That said, there are a few cost advantages too…
Leases are usually signed on 3-to-5 years terms, which means you’re locked in. On a per-employee basis, office space can cost from $4,000–24,000 each year. As a small team on the lower end of that scale, you might consider co-working spaces, but the costs add up there as well.
According to DeskMag, it costs $4,644 each year for a dedicated desk-space in the United States. At a monthly cost of $387, costs for co-working space add up as well.
Like having a clean office? Food for your employees? Those are all costs that add up over time. To put things in perspective, serving a team of 10 can cost up to $350 per meal!
What to do next…
Calculate how much money you’ll save by working remotely, and make the switch!