The Real Cost of an In-House Paralegal vs a Virtual One
When a firm weighs hiring a paralegal, the first number that comes up is the salary. It is also the most misleading. The salary is only the visible part of the cost. Once you add benefits, payroll taxes, office space, equipment, software seats, and the time and money it takes to recruit and replace people, the real cost of an in-house paralegal is far higher than the figure on the offer letter. This is a plain-English comparison of what an in-house paralegal actually costs versus a dedicated virtual one, so you can budget from real numbers.
The sticker price: what an in-house paralegal earns
According to the US Bureau of Labor Statistics, the median wage for paralegals and legal assistants was about $61,000 per year (May 2024). Entry-level roles start closer to $40,000, and experienced paralegals in major metros can earn $99,000 or more. That salary is the number most firms plan around. It is also only the beginning of the cost.
The real cost: what you actually pay to employ one
Industry estimates put the fully loaded cost of an employee at roughly 1.3 to 1.5 times their base salary once everything is counted. For a paralegal on a $61,000 salary, that pushes the true annual cost into the $85,000 to $95,000 range, and higher in expensive markets. Here is where the extra money goes:
- Employer payroll taxes (Social Security, Medicare, and unemployment), typically around 8 to 10 percent of salary
- Benefits, which add roughly 30 to 40 percent on top of salary, including health coverage that commonly runs $7,500 to $11,000 per year for an individual
- Office space, a desk, a computer, and phone
- Software and case-management seat licenses
- Recruiting fees, onboarding time, and the cost of turnover when someone leaves
None of these show up in the salary line, but every one of them comes out of firm revenue.
What a virtual paralegal costs
A virtual paralegal is a remote professional who does the same substantive support work, without the overhead of an in-house hire. Pricing varies by model. US-based independent virtual paralegals commonly bill $45 to $90 per hour. A dedicated remote paralegal engaged through a managed provider typically lands in the $18,000 to $30,000 per year range, all in, because benefits, taxes, office space, equipment, and recruiting are the provider’s responsibility, not yours.
Side by side
| Annual cost (illustrative) | In-house paralegal (US) | Dedicated virtual paralegal |
|---|---|---|
| Base salary | ~$61,000 | Included in one rate |
| Payroll taxes | ~$5,000 | Handled by provider |
| Benefits and health coverage | ~$18,000 to $24,000 | Handled by provider |
| Office, equipment, software | ~$5,000 to $10,000 | Handled by provider |
| Recruiting and turnover | Variable | Handled by provider |
| Approximate all-in | ~$85,000 to $95,000 | ~$18,000 to $30,000 |
Where ShiftSixOS lands
A dedicated paralegal through ShiftSixOS is about $2,325 per month, all-inclusive, which works out to roughly $27,900 per year. That single rate covers the salary plus recruitment, HR, payroll, benefits, office space, IT equipment, security, and compliance. There are no hidden fees and no long-term lock-in beyond a standard 12-month contract. On average, firms spend about one-third of the cost of hiring locally for candidates of equal caliber. You can see the current role rates on the Pricing page. The model is simple: you manage the work day to day, and we handle everything behind it.
Cost is not the only number that matters
The cheapest option is not automatically the right one. What makes outsourcing work is keeping quality and control high while the cost comes down. That means a supervising attorney still owns the work product, the paralegal works inside your systems, and you get a dedicated professional rather than an anonymous pool. It also means your client data is handled to recognized standards. ShiftSixOS operates a compliance-first model with ISO 27001, ISO 9001, and SOC 2 Type 2 practices, detailed on Why firms choose ShiftSixOS. If you want the full picture on staying in control when the work is remote, see our guide on how to outsource paralegal work without losing control. You can also review the available roles on the Hire Talent page.
The bottom line
An in-house paralegal costs far more than the salary suggests, often $85,000 to $95,000 a year once everything is counted. A dedicated virtual paralegal delivers the same support work for a fraction of that, with the overhead handled for you. Run the numbers for your own firm, keep your supervision and standards exactly as they are, and put the difference back into the practice.
Want a clear, all-inclusive quote for the roles your firm needs? Book a free consultation.