Understanding the True Cost of Internal IT vs. Partnering with Fusion

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Managing IT expenses can often feel like walking a tightrope for many businesses. With multiple factors influencing costs, it’s easy for IT-related expenses to spiral out of control quickly. That’s where Fusion Computing comes in. We offer a transparent, efficient, and reliable way to handle all of your IT expenses. 

One of the key tools we provide to help you make an informed decision is the IT Costs Calculator. This tool gives you a clear comparison of the costs of running an internal IT team versus partnering with Fusion. In this blog, we’ll walk through the hidden costs of maintaining an internal IT team and how Fusion offers a more effective and scalable alternative.

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The True Cost

Building an internal IT team may seem like a great idea at first – having a diverse range of talent under one roof, all working together towards a common goal. However, the reality often falls short of this ideal. While salaries and benefits are the most obvious costs, there are many hidden expenses that can quickly accumulate. 

Employee Salaries

The salaries of your IT team can vary greatly depending on their role and experience. For example:

  • A service technician might cost $55,000 annually.
  • A senior IT Manager could command $100,000 or more.

The higher the skill level, the higher the salary, and in larger teams, these salaries add up without a moment’s notice. Let’s say you have a Senior Technician team. The total salary cost can reach $160,000 annually.

Employer Overhead

Salaries are only the tip of the iceberg. Beyond base pay, companies also shoulder the cost of employer overhead, including:

  • Benefits (healthcare, retirement plans, etc.)
  • Taxes
  • Office Space for your IT staff
  • Ongoing training (programs, certifications, exams)

These additional costs typically add another 20% to the baseline salary. So, if an IT Manager is earning $100,000, the true cost of that role could easily be around $120,000 annually when factoring in benefits and other overhead.

Recruitment, Onboarding & Training

Recruiting and retaining high-quality IT professionals can be both time-consuming and expensive. The average time to hire an IT professional exceeds one month, and beyond recruitment costs, there are onboarding expenses and the time spent integrating new employees into your systems. Additionally, training your IT staff to keep them up-to-date with the latest technologies and compliance requirements adds another layer of expense. However, the costs of not training can be even more detrimental. Outdated skills can lead to inefficiencies, security vulnerabilities, and missed opportunities for innovation. Lack of training can also result in compliance gaps, risking fines or reputational damage. Moreover, employees who feel their skills aren’t being developed may leave, incurring further recruitment and onboarding costs. 

Technology & Infrastructure

An internal IT team requires extensive infrastructure:

  • Computers, laptops, servers, software tools
  • Networking equipment
  • Ongoing updates, patches, and upgrades to ensure the tech stack is up to date

These costs can be difficult to predict and often increase over time as technology advances. It’s not just the upfront cost—it’s the continuous expense of keeping all systems running smoothly and securely.

Fusion Computing’s Monthly Managed IT Package

  • All-inclusive, fixed pricing
  • Executive IT Strategy (Fractional CIO/CTO)
  • Executive IT Business Operations (Fractional COO)
  • Fractional CISSO
  • Proactive 24/7 support
  • Expertise across all IT disciplines

The IT Costs Calculator: Make Informed Decisions

Understanding the true cost of internal IT versus partnering with Fusion can be tricky, which is why we’ve developed our IT Costs Calculator. This tool lets you see a side-by-side comparison, providing clarity on how much you could be saving by working with a dedicated IT services provider like Fusion.

While the upfront cost of working with an external IT provider like Fusion may seem higher at first glance, the long-term savings and efficiency gains are substantial. With predictable pricing, expert-level talent, no overhead costs, and comprehensive IT support, Fusion Computing provides a smarter, more cost-effective IT solution compared to building and maintaining an internal team. 

Don’t Keep Letting Your IT Get in the Way of Your Growth. Use our IT Costs Calculator to see how much you could save and improve the efficiency of your IT strategy today!

Ready to see how much you could save?

Click here to access our IT Costs Calculator and get a customized analysis of your IT expenses.

About Fusion Computing

Fusion Computing is a leading Managed Security Services and outsourced IT Operations provider servicing the GTHA since 2012. Fusion focuses on ownership and management of Cyber-Security, IT Strategy, Business Continuity, and Support through the business technology stack.

Contact Fusion Computing

100 King Street West
Suite 5700
Toronto
ON, M5X 1C7

(416) 566-2845
1 888 541 1611

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