Understanding the True Cost of In-House Trust Accounting vs. Outsourcing

Sonia Mammino-Rahme
Mar 25
3 min read

When it comes to managing trust accounting, real estate agency principals and heads of property management must make an important decision: keep the function in-house or outsource it to a specialised firm like us at Think Cloud Solutions.

While at first glance, in-house accounting may seem like the more economical option, a closer examination of the costs reveals a different story.

Breaking Down the Costs of In-House Trust Accounting

Hiring an in-house trust accountant isn’t just about paying a salary. There are multiple hidden expenses that business owners often overlook:

1. Salary & Employee Benefits

A full-time trust accountant’s salary in Australia can range from $70,000 to $100,000 per year, depending on experience and location. On top of that, employers must factor in superannuation (10.5%), annual leave, sick leave, payroll tax, and potential bonuses.

2. Recruitment & Training Costs

Finding the right candidate for a trust accounting role can be a time-consuming and expensive process. Recruitment agency fees, advertising job postings, and time spent on interviews all add up. Once hired, ongoing training and professional development are necessary to ensure compliance with state and federal regulations, another cost to consider.

3. Compliance & Risk Management

Errors in trust accounting can lead to hefty fines or legal action due to strict government regulations in Australia. If an in-house accountant makes a mistake, the agency bears the responsibility and cost of correcting it. Regular audits and compliance reviews further add to operational expenses.

4. Software & Technology Costs

Trust accounting software, licensing fees, IT support, and security measures are ongoing expenses. Many businesses also need to upgrade systems periodically to remain compliant, incurring additional costs.

The Cost-Saving Benefits of Outsourcing

By outsourcing trust accounting to an experienced team like us at Think Cloud Solutions, businesses can significantly reduce these costs while improving efficiency and compliance. Here’s how:

1. Reduced Overheads

Instead of paying a full-time salary, businesses only pay for the services they need. We at Think Cloud Solutions offer flexible packages tailored to different business sizes and requirements, ensuring cost-effectiveness.

2. No Recruitment or Training Expenses

Outsourcing eliminates the need for hiring, training, and upskilling staff. The outsourced team is already highly trained and updated with the latest regulations and industry best practices.

3. Compliance & Risk Mitigation

A professional trust accounting firm ensures full compliance with Australian laws, reducing the risk of costly fines and legal troubles. Our team of experts proactively monitors regulatory changes to ensure your business remains compliant.

4. Access to Advanced Software & Technology

With an outsourced provider, businesses gain access to industry-leading trust accounting software without the hefty licensing fees. This ensures seamless reporting, security, and efficiency.

Real-World Cost Comparison

Let’s break it down:

Outsourcing with Think Cloud Solutions

Agency principals and property management leaders can concentrate on business growth, service improvements, and profit increases by outsourcing trust accounting. The cost savings, combined with expert compliance management, make outsourcing an intelligent, strategic decision.

With Think Cloud Solutions, you get a trusted, experienced team that understands the intricacies of Australian trust accounting. We personalise our services to meet your specific needs, whether it's daily receipting, end-of-month reporting, compliance reviews, or software training.

Ready to Save Time and Money?

Avoid the hidden costs and risks of in-house trust accounting.