50% Lower Costs? The Real Cost of In-House Accounting vs. Outsourcing – By the Numbers

Hi everyone,   

Ask any accounting firm owner why they don’t outsource, and you’ll hear the usual reasons: "We want control," "Our clients expect a personal touch," or simply "We’ve always done it this way." 

But have you ever sat down and worked out what this approach is actually costing you? 

Right now, many firms are paying more than they should—in money, time, and opportunity cost. 

Now is the time to change that. 

The Real Price of an In-House Team 

Let’s break it down. 

A qualified UK-based accountant costs £45,000 to £55,000 a year in salary alone. Then add recruitment fees, training costs, pensions, NI contributions, and software. 

Now, multiply that by your team size. 

And that’s before we even talk about the real killer—staff turnover. 

The Endless Hiring Cycle (And Why It’s Bleeding Firms Dry) 

The UK accountancy sector has a 20%+ annual staff turnover rate. That means if you have 10 accountants, you’re likely replacing two of them every single year. 

Each new hire takes months to recruit, train, and get up to speed—all while you’re paying their full salary. And once they’re fully operational? Many jump ship for a bigger firm or a higher offer elsewhere. 

Now, think about what that cycle really costs: 

• Lost productivity—clients waiting, deadlines being stretched 

• Lost billable hours—partners and senior staff getting dragged into hiring instead of focusing on growth 

• The constant stress—knowing that at any point, key team members could leave and throw your firm into chaos 

Is this really the best use of your time and money? 

What Big Firms Know That Smaller Firms Don’t 

The biggest firms have figured it out. They don’t do everything in-house. 

Instead, they keep the high-value work—strategy, client relationships, and advisory—while delegating the execution offshore. That’s how they keep profits high without hiring endlessly. 

But smaller firms? Many are stuck in an outdated model, trying to handle everything in-house, stretching their resources thin, and feeling permanently understaffed. 

And that’s why so many struggle to grow. 

The India Advantage: Why the Smartest Firms Are Looking Offshore 

For years, firms in the West have outsourced tax and compliance work to India, but now, even core accounting functions are moving offshore. 

Why? Because a fully qualified accountant in India costs 50-70% less than their local counterpart—without compromising on skills or quality. 

Top firms have already cracked the model: hyperlocal client relationships, India-based execution. The result? Lower costs, higher margins, and a team that scales effortlessly. 

If keeping everything in-house is holding you back, maybe it’s time to rethink how (and where) you build your team. 

The Bottom Line: What’s Your Growth Worth? 

If keeping everything in-house is slowing you down, draining profits, and keeping you stuck in constant hiring cycles, maybe it’s time to rethink the model. 

We’ve helped firms build offshore teams that integrate seamlessly into their operations—saving them 50%+ on staffing costs without losing control over quality. 

If you want to scale without drowning in overheads, let’s talk. 

Book a call with us today and see how outsourcing could transform your firm. 

Cheers, 

Arun