How Much Does IT Outsourcing Cost?

IT outsourcing can give businesses access to professional technology support without building a full in-house IT department. This guide explains the different ways outsourced IT services are priced and the factors that can affect the overall cost of IT outsourcing. 

Key Takeaways

• IT outsourcing costs depend on your number of users, devices, services, support hours, security needs, and technology setup.
• For comprehensive managed IT services, businesses often pay about $125 to $255 per user each month.
• IT providers may charge per user, per device, per hour, per project, or with a fixed monthly fee.
• Fully managed IT usually costs more than basic or break-fix support because it includes more ongoing monitoring, maintenance, and support.
• Cybersecurity, compliance, cloud services, and specialized consulting can raise your total IT outsourcing cost.
• When you compare outsourced IT pricing, look at both the services included and the total yearly cost.

With cyber threats growing more costly and complex, businesses of every size need professional IT services. The real decision is whether to build an in-house IT team or outsource your IT needs to a professional provider. But how much does IT outsourcing cost today?

THE AVERAGE COST TO OUTSOURCE IT IN NORTH AMERICA

For comprehensive managed IT services, you can expect to pay about $125 to $255 per user per month. If you only need basic support, you may pay less. If you need advanced cybersecurity, compliance, or strategic IT services, you may pay more. Overall, plans can range from about $75 to $325 or more per user per month.

Your IT outsourcing costs can also vary by region, so prices in your area may differ from those in other cities. The ranges below reflect common pricing across much of the country.

You can compare outsourced IT pricing by looking at the different pricing models providers use:

These are planning ranges rather than universal rates. Pricing can vary widely by provider, location, technology needs, and the services included in the agreement.

Monthly Pricing

If your firm has about 50 employees, you can expect to pay about $6,250 to $12,750 per month for a comprehensive managed IT plan priced at $125 to $255 per user. Your provider handles most or all of your IT needs, from network monitoring to hardware maintenance.

If you choose a break-fix service model, you pay only when something goes wrong. Providers usually charge by the hour instead of by the user, with common rates ranging from about $75 to $200 or more per hour.

Break-fix may save you money during uneventful months, but it can also make your costs harder to predict. You also usually don’t get proactive monitoring, patching, security management, or preventive maintenance.

Per Device

Some IT providers charge you per device instead of per user. You pay a recurring fee for each workstation, server, or other managed device. Providers charge different rates because each type of device requires a different level of maintenance and support.

You can expect to pay about $30 to $100 per month for a managed workstation and about $100 to $500 per month for a server.

You may also pay separate management fees for firewalls, switches, and other network equipment. Your costs can vary based on the type of infrastructure you use, such as legacy equipment, on-premises servers, or cloud services.

Per-device pricing may work well for you if your business has many shared computers or if your device count is very different from your employee count. If each employee uses a laptop, phone, and other connected systems, per-user pricing may be simpler.

Project-specific Pricing

How much does it cost to outsource IT if you need help with an internal project? For a short-term project, you should request a custom bid.

If your provider bills by the hour, you can expect IT consulting rates of about $100 to $200 per hour for project management and general consulting. Cybersecurity specialists, enterprise architects, and other senior consultants may charge $200 to $350 or more per hour.

Your provider may also offer a fixed price when they can clearly define the project. You may see fixed pricing for cloud migrations, network redesigns, cybersecurity assessments, and major software setups instead of an hourly rate.

You may need to pay separately for software licenses, hardware, cloud fees, and third-party products. Make sure your project quote clearly explains what the provider includes in the price.

Help Desk Services

If you mainly need help with password resets or troubleshooting, help desk services may be a good fit for your business.

You can expect basic managed IT packages with help desk support, monitoring, and patching to start around $75 to $125 per user per month. If you only need help desk services, your provider may charge you by the hour, per ticket, or through a monthly retainer.

You may pay more if you need 24/7 coverage, guaranteed response times, on-site support, help with specialized software, or access to higher-level technicians.

Co-Managed IT Services

You can also choose co-managed IT if you already have an internal IT team. Co-managed IT is one of several IT outsourcing models you can use to divide responsibilities between your staff and an outside provider. Instead of replacing your staff, an outside provider works alongside them.

For example, your in-house employee might handle daily user requests while your MSP manages cybersecurity, backups, network infrastructure, and larger projects. You could also have the provider take over your help desk so that your internal IT team has more time for higher-level work.

You may pay about $75 per user per month for co-managed IT in some cases, compared with $125 to $255 per user for fully managed IT services. Your actual price depends on which responsibilities you keep in-house and which ones you outsource.

WHAT FACTORS DETERMINE HOW MUCH IT COSTS TO OUTSOURCE IT?

The services you choose have a major effect on your total IT outsourcing costs. Your number of users and devices matters, but several other factors can raise or lower what you pay:

• Scope of services: The more IT services you outsource, the more you will pay. Full-service plans cost more than basic help desk support.
• Technology complexity: Older systems, multiple locations, on-premises servers, and specialized software can increase support costs.
• Cybersecurity requirements: Advanced security services such as EDR, MDR, email security, and identity management can raise your monthly cost.
• Compliance requirements: Industries with HIPAA, NIST SP 800-171, CMMC, or other requirements may need added security, documentation, and compliance support.
• Support hours and service levels: 24/7 support, faster response times, and on-site help usually cost more than standard business-hours support.
• Internal IT resources: If you already have an IT team, a co-managed plan may cost less than outsourcing your entire IT department.

Proactive services such as continuous monitoring and network management usually cost more than reactive break-fix support, but they also give you broader coverage and stronger cybersecurity protection. Your final cost depends on how much responsibility you want your IT provider to take on.

IS THE COST TO OUTSOURCE IT WORTH IT?

Choosing how to support your technology comes down to finding the right balance between cost, coverage, and control. At TSP, we provide managed IT services that let you outsource the day-to-day work your business needs without building every capability in-house.

We work with you to shape outsourced IT services around your environment, priorities, and budget. That makes it easier to manage your IT outsourcing cost while still giving your team access to ongoing support, maintenance, security, and technical expertise.

If you’re ready to see what the right level of outsourced IT support could look like for your business, contact our team to get started.