
3 min read
8 Apr 2025
Many people unfamiliar with offshore staffing assume it’s only for large corporations. Big companies with call centres, payroll teams, and customer service outsourcing departments in countries like India and the Philippines dominate the conversation.
However, small and medium-sized businesses (SMBs) are increasingly leveraging remote Filipino employees and offshore virtual assistants to reduce domestic labour costs, overcome talent shortages, and manage rising regulatory expenses. With cloud-based business systems now the norm, integrating offshore staff into your operations has never been easier.To navigate this guide effectively, jump to the section most relevant to you:
Key Benefits of Offshoring & Hiring Remote Filipino Employees
Outsourcing Non-core Tasks to Filipino Virtual Assistants to Focus on Core Business Operations
Regulatory Costs: Australia vs. the Philippines for Offshore Hiring
Key Benefits of Offshoring & Hiring Remote Filipino Employees
Offshoring staffing is not just about cost reduction, it’s also about improving efficiency, reducing workload, and scaling a business more effectively. For owner-operators, looking to hire offshore virtual staff the advantages can be even greater than those experienced by large corporations.Outsourcing Non-Core Tasks to Filipino Virtual Assistants to Focus on Core Business Operations
Many owner-operators build their businesses around their personal expertise, whether that’s in trades, legal services, accounting, or consulting. However, the time spent on non-revenue-generating tasks (such as bookkeeping, invoicing, or marketing) eats into their billable hours.
For instance, an electrician or plumber who spends hours each evening on paperwork is losing time that could otherwise be spent servicing more clients. Similarly, lawyers, accountants, and consultants often find themselves bogged down by administrative work instead of focusing on client service.
Hiring an offshore administrator, virtual assistant, or bookkeeper can immediately free up time, increase productivity, and enhance work-life balance, all at a fraction of the cost of hiring locally.
Why Filipino Remote Workers Offer Versatile Skills for SMBs
Filipino professionals are known for their adaptability and willingness to take on multiple roles. Unlike many Western employees who prefer specialised job functions, offshore staff from the Philippines often handle various tasks beyond their primary responsibilities.
For small businesses, this means hiring a single offshore employee who can manage administration, bookkeeping, social media, and customer service, a cost-effective solution that would be difficult to achieve locally.
Want a beginner-friendly guide to offshore staffing? Check out our article Dip Your Toe In: A Beginner's Guide to Offshore Staffing
Regulatory Costs: Australia vs. the Philippines for Offshore Hiring
Some of the hidden costs of employment in Australia include regulatory costs, such as State Payroll Taxes, Worker’s Compensation Insurance, and Professional Indemnity and Public Liability (often calculated on the gross income of your staff). While the insurances are essential, they are also often mandatory. The Philippines has its own regulatory costs, contributions, and taxes, more numerous than Australia’s, however, as they are based on much lower salary levels, their impact is obviously a lot lower for offshore hiring.
Hiring staff in Australia comes with significant regulatory costs, including:
Payroll Tax – Not a concern for Owner Operators starting out, as the threshold for paying Payroll Tax generally kicks in once your business has grown considerably. However, it may be something to bear in mind if scaling your business is something you are reaching towards. With most States averaging between 5% and 7% of the gross wages and superannuation paid to your staff, this is obviously a significant tax.
Workers’ Compensation Insurance – Entirely dependent on the WIC code applied to your industry and business type, but this can range from under 1% to around 4%.
Professional Indemnity & Public Liability Insurance – Adding new worker salaries into your overall business assessment for insurance pricing, this will obviously be something to consider when growing your team. Your offshore teammates won’t have this issue.
The Philippines also has employment-related taxes and contributions, but they are based on significantly lower salary levels, making the overall financial burden much lighter for businesses looking to scale efficiently through offshore hiring. Check out this breakdown: Employee Benefits in the Philippines: All you need to know.
The Accessibility of Offshore Hiring for Small Businesses
Offshoring was once exclusive to large corporations, but today, even small businesses can easily hire and manage offshore employees. Key reasons include:
Cloud-Based Software – No need for complex installations; most business tools (Microsoft Office, Xero, CRMs, and VoIP services) are easily accessible online for remote Filipino employees.
Flexible Offshore Hiring Models – Beyond traditional BPO setups, newer models like Employer of Record (EoR) services allow businesses to hire offshore staff with minimal administrative hassle.
Mainstream Acceptance of Offshoring – Many industries, from trades to real estate and healthcare, now widely used offshore teams for back-office support.
Seamless Communication Tools – Platforms like Google Meet, Teams, WhatsApp, and softphones enable clear, cost-effective communication with offshore staff.
Choosing the Right Offshore Staffing Provider
Selecting the right offshore staffing provider is crucial for a successful offshoring experience. A reliable partner will streamline the hiring and onboarding process, ensuring you find skilled professionals who align with your business needs. While managing and training offshore employees is ultimately the business owner’s responsibility, a good provider will offer support and guidance throughout the journey.
At Talent Team Services, we specialize in connecting owner-operators with highly qualified Filipino professionals. We understand the unique challenges faced by small businesses and offer tailored solutions to match your specific requirements. From identifying the right talent to handling administrative tasks and ensuring compliance, we make the process smooth and hassle-free.
When choosing an offshore staffing provider, consider the following:
Experience and Expertise: Look for a provider with a proven track record and deep understanding of the offshore landscape, particularly in the Philippines.
Recruitment Process: Ensure they have a robust recruitment process to identify and screen qualified candidates.
Support and Communication: Choose a provider that offers ongoing support and maintains clear communication throughout the engagement.
Compliance and Legalities: Verify that they handle all necessary legal and compliance issues related to offshore employment.
Offshoring is no longer just for big corporations, it’s a practical, cost-effective solution for owner-operations looking to scale. With the right strategy and reliable partner like Talent Team Services, hiring offshore staff can help your business grow without the financial risks of hiring locally.
Ready to explore offshore hiring? Contact us today to learn how to hire skilled Filipino staff for your business.
Written by

Chris Garibaldi
Director, Client Success Manager
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