The Real Cost of IT Support: Breaking Down the Numbers
Let’s talk real numbers about IT support costs. If you’re weighing the decision between building an internal IT team or outsourcing, you need clear data — not vague promises about savings.
We’ve crunched the numbers across hundreds of businesses, and here’s what we’ve found: companies typically save $62,000 per year by outsourcing IT. But that’s just the average. Let’s break down what this means for different business sizes.
Small Business Reality Check (10-50 Users)
Think one IT technician can handle everything? Here’s what that actually costs you:
- $75,000 base salary
- $22,500 in benefits
- $15,000 for essential tools and software
Total: $112,500 annually for basic coverage.
The outsourced alternative? Starting at $18,000 per year (for 10 users) for comprehensive support. That’s $94,000 back in your budget — without sacrificing service quality.
Mid-Size Business Mathematics (51-200 Users)
At this level, you’re not just adding technicians — you’re building a department. Here’s the real cost:
- IT Manager: $120,000
- 2-3 Technicians: $150,000-225,000
- Benefits Package: $81,000-103,500
- Tools and Software: $25,000
Your annual spend: $376,000-473,500.
Outsourced solution: starting at $91,800 per year (for 51 users). The difference? Up to $285,000 in savings.
Enterprise-Level Economics (201-500 Users)
Enterprise IT isn’t just expensive — it’s complex. Your minimal internal team costs:
- IT Manager: $120,000
- 4-6 Technicians: $300,000-450,000
- Benefits: $126,000-171,000
- Infrastructure: $60,000
- Enterprise Tools: $40,000
Total internal cost: $646,000-841,000 annually.
Managed IT alternative: starting at $361,800 per year. That’s up to $280,000 in savings for enterprise-grade support.
The Hidden Costs Nobody Talks About
These numbers don’t even tell the full story. Internal IT teams come with extra costs that rarely make it into the budget discussions:
Recruitment and turnover: Every time an IT staff member leaves, you’re looking at weeks of decreased productivity and thousands in recruiting costs. The average IT position takes 3-4 months to fill.
Training and certification: Technology changes fast. Keeping an internal team current means constant training investments. Cloud certifications alone can cost $5,000-10,000 per person annually.
Coverage gaps: Vacation time, sick leave, and after-hours emergencies all create coverage challenges. You either pay overtime or accept the risk of delayed response times.
Beyond the Numbers: What You’re Really Getting
Outsourcing isn’t just about saving money. When you work with a managed service provider, you get:
- 24/7 coverage without overtime costs
- Access to specialized expertise across multiple technology domains
- Predictable monthly costs instead of surprise expenses
- Built-in security and compliance expertise
- Scalable support that grows with your business
Making the Decision
Use our it cost calculator to get specific numbers for your business size and needs. But remember — this isn’t just about finding the lowest number. It’s about getting the right IT support for your business growth.
The smart approach? Start with honest numbers. Look at your real costs, including the hidden ones. Then make a decision based on your business needs, growth plans, and risk tolerance.
Want to see your specific savings? Try our calculator or book a 15-minute call. We’ll show you exactly what outsourced IT would look like for your business.
*All salary data based on 2025 Glassdoor figures and industry averages.