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Business guides · Illustrative commercial model

The financial case: two payroll officers versus a managed team

A credible cost comparison makes its assumptions visible and compares delivery capability as well as salary.

The baseline

Assume two Australian payroll officers each receive $90,000 salary plus super. Their combined salaries are $180,000. At an assumed 12% super on the full salary amount, the salary-and-super subtotal is $201,600 annually, or $16,800 monthly.

An illustrative SESAY model

For this example only, assume a managed service fee of $10,000 per month excluding GST: $120,000 annually. The assumed scope includes two dedicated payroll specialists, a shared team leader and an Australia-based governance and compliance lead. Leadership and governance capacity is shared; this is not four full-time dedicated employees.

What the arithmetic shows

Against salary alone, the illustrative saving is $60,000, or 33.3%. Against salary plus super, it is $81,600, or 40.5%. To exceed 30% savings against salary alone, the comparable annual service cost must be below $126,000, or $10,500 per month.

Compare the full business case

This is a hypothetical scenario, not a SESAY quote, published package price or actual client result. It excludes payroll tax, workers compensation, recruitment, software, equipment, transition costs and retained client management time on both sides. Do not add paid annual leave to salary again as a duplicate cost. Additional coverage or remediation can change the comparison.

Capability must be demonstrated

The managed model is intended to add structured review, escalation and reporting. Those benefits depend on the agreed capacity and service scope. Confirm volume, awards, entities, deadlines, response arrangements and reporting requirements before deciding whether two specialists can deliver an equivalent workload.

Illustration only · AUD · GST excluded
Annual costTwo local officersAssumed managed service
Salary / service fee$180,000$120,000
Employer super on salaries$21,600Included in assumed service price structure
Comparison subtotal$201,600$120,000
Difference$81,600 annually / $6,800 monthly / 40.5%

How SESAY can help

SESAY can scope the work and prepare a transparent proposal. Your authorised approver retains payroll approval. A lower fee is useful only when the service can meet your operational and governance requirements.

Discuss your payroll requirements

Official sources & further reading

General information, current at the review date. Check the linked regulator guidance for your circumstances and any later changes. SESAY service scope and authorisations are agreed before commencement.