“How can a VA only be $7 an hour?”
This is the most common question I receive when explaining how a virtual assistant can change the trajectory of your business. I created The $7 an Hour Entrepreneur to emphasize this opportunity that was so crucial for me to get my startup business off the ground. The pricing model for a virtual assistant makes many wary about this seemingly “too good to be true” opportunity. It sounds crazy, right? Well it’s not! In this blog, we will delve deeper into the pricing model for VAs and highlight the benefits and cost-effectiveness tailored to unique business needs.
I utilize Strategic Assistant Staffing where there is an understanding that the importance of affordability without compromising quality is of utmost priority. What sets SAS apart from the many other overseas companies out there is that it is on the more affordable end, caters specifically to small businesses, startups, and entrepreneurs, and offers industry-specific VAs.
“How is it only $7 an hour?”
For context, the minimum wage in the Philippines is $1 an hour. I don’t make the rules. I’m just giving you the national statistics. The federal minimum wage in the US is $7.25. It would be excruciatingly difficult to find an employee if you’re only offering $7.25 in the US. Comparatively, if you look at the cost of living between the US and the Philippines, it is very different. To give you an example from when I visited recently, I wanted to treat my VAs to a 90 minute massage for all 3 of us. It cost a total of only $48. In the US, that would be almost $448.
“How can you have good people at $7 an hour?”
Kristina, I will tell you, I ain’t letting her go for the life of me. She’s hopefully an employee for life, a friend, and someone that I’m going to help coach, mentor, and in turn watch her rise. She is what SAS calls a premium VA (which I will explain in just a few). However, we work with a plethora of VAs with different specialties and abilities. These VAs have attended and completed 4+ years of college and many have worked customer service roles for many years following education. They also specialize in different skills such as graphics, social media, lead generation, customer support, and much more. The literacy rate in the Philippines is also among the highest in the world, reaching 99.27% in 2021!
“How does this pricing model work?”
With SAS, for the first 90 days when you sign up and start a new VA in any role, it’s a $7 an hour rate for 90 days. Then at 90 days, we really interpret that as the VA is someone who is going to be a long-term employee for you in your business. That rate then goes to $9. SAS also offers VAs at a premium level for more which is what I pay for an employee of Kristina’s level and ability. There are multiple options and levels of VAs but the wage is still highly competitive compared to the US.
Another beautiful part of this partnership with a VA is that you are saving so much money in normal business expenses that you have an increased ability to give more to your VAs if you so choose. I bought Kristina a laptop (but not necessary for VAs because they already own laptops) for her to use. I give sales incentives to people for $100 here and there because I know it goes further and means so much to my employees. And they deserve it.
This is the nature of dealing with a different culture in business. The concept itself seems foreign to us here in the States. I have been a very satisfied customer for years and even invested in the company SAS as a co-owner. This really helps address the question for many entrepreneurs like myself, “how do you get good, competent, hardworking staff at such a low rate?” And that’s my answer to just how totally different this model and structure of the VA business really is.
