In-House vs. Outsourced Janitorial in T&T: A Clear, Numbers First Guide

When budgets are tight, the question isn’t “clean or don’t clean”—it’s what’s the most cost-effective way to keep standards high. Here’s a neutral, business-minded framework to help you decide whether to hire your own janitorial staff or contract a professional provider in Trinidad & Tobago.

1) Start with the real (not just “wages”) cost of in-house staff.

Direct pay is only the first line. Your fully loaded cost per in-house cleaner typically includes:

• Base wages. As a reference point, T&T’s national minimum wage is TT$20.50/hour (effective 1 Jan 2024). Some public-sector roles can be higher; many private roles pay above minimum for experienced cleaners.

  
  

• National Insurance (NIS) employer contributions. NIS is calculated by earnings class; historically the combined contribution rate has been ~13.2% of insurable earnings (with employer/employee shares per NIBTT tables). Always apply the current rate for your staff’s class.

  
  

• Health surcharge administration. Employers must deduct and remit (e.g., TT$8.25/week for incomes above the stated threshold). While it’s not an employer cost (it’s employee-funded), it is an admin load to process.

  
  

• Paid leave coverage. Vacation, sick leave and public holidays still need cleaning coverage (overtime, relief staff, or service gaps).

  
  

• Supervision & HR time. Recruiting, vetting, training, rostering, performance management, payroll, and compliance.

  
  

• Equipment, chemicals & consumables. Machines (vacuums, scrubbers), repairs, and monthly supplies.

  

  The need for purchasing essential janitorial supplies.

  
  

  

  A janitor operates a floor buffer, highlighting the often overlooked expenses and efforts involved in maintaining essential cleaning equipment.

  
  

• Insurance & HSE. Workplace injury risk sits with you; you’ll need appropriate employer liability/accident cover.

  
  

• Vacancy/turnover slippage. Absences and replacements create soft costs (overtime, quality dips, re-training time).

  
  

Rule of thumb: after NIS, relief cover, HR, supplies and equipment, a cleaner’s fully-loaded cost often lands 20–40% above base wages (varies by site and standards). Treat wages as the floor—not the total.

Examining the financial impact of maintaining in-house janitorial services, an accountant analyzes detailed cost breakdowns and records.

2) Build a quick in-house cost model (use your numbers)

Use this worksheet to price a single full-time cleaner (you can scale it up):

A. Direct wages = Hourly rate × 40 hrs/week × 4.33 weeks

B. Employer NIS ≈ A × (current employer share per NIBTT table)

C. Relief for leave/absence = A × (%) you need to cover (e.g., 8–12%)

D. HR & supervision time = Manager hourly cost × hours/month spent on janitorial.

E. Supplies & chemicals = Monthly average.

F. Equipment amortization & upkeep = (Annual cost ÷ 12)

G. Insurance increment (if any) = Monthly estimate

Fully loaded in-house monthly cost = A + B + C + D + E + F + G

VAT tip: When comparing to a vendor quote, remember VAT is 12.5% on many services; if you’re VAT-registered, compare net of recoverable VAT to keep apples-to-apples.

Financial worksheet detailing pricing calculations for employing a single full-time cleaner.

3) Price the outsourced option the same way (but it’s simpler)

A reputable contractor’s monthly fee should bundle:

• Labour (wages), payroll taxes/NIS, relief cover for sick/leave

• Supervision and quality control

• Chemicals/consumables and all equipment

• HSE compliance, liability insurance

• Agreed scope & frequency (with surge or periodic deep cleans priced in)

Your math then is mostly one line:

Outsourced monthly cost = Vendor fee (± add-ons you request) ± VAT (netted off if recoverable)

Issuing a cheque for payment or transfer -Vendor Fee demonstrating a simple transaction

4) Run a worked example (illustrative only)

Let’s say your internal cleaner earns TT$22/hour (above minimum), 40 hrs/week.

• A. Wages: 22 × 40 × 4.33 ≈ TT$3,807

• B. Employer NIS: apply current NIBTT employer share (use the official class table; for illustration say ~7–8% of A) ≈ TT$267–305

• C. Relief cover: 10% of A ≈ TT$381

• D. HR/supervision time: e.g., 4 hrs/month × TT$200/hr manager time ≈ TT$800

• E. Supplies & chemicals: TT$400

• F. Equipment (amortized): TT$250

• G. Insurance increment: TT$100

  
  

Indicative in-house total: TT$6,005–6,043/month

If a contractor quotes TT$5,600/month (covering all the above), outsourcing wins.

If the quote is TT$6,800, in-house may be cheaper unless you value the risk transfer, guaranteed relief cover, and management time freed up.

Sanity check: Re-run with your actual wage, current NIS class and your site’s real supply/equipment costs. The conclusion will often flip based on these inputs.

5) When outsourcing usually makes more sense

Multiple sites / variable loads. You need flexibility (scale up/down) without hiring/firing cycles.

• High standards or specialized methods. Steam/ozone sanitization, machine scrubbing, infection-control products—vendors already own/maintain the kit.

  
  

• Tight management bandwidth. You want cleaning to be “set and forget” with SLA-based supervision and a single monthly invoice.

  

  
  

• Coverage risk. You can’t afford gaps when someone is on vacation/sick leave; vendors absorb staffing risk.

  
  

6) When in-house can be the better call

Very large, stable single-site where you can keep machines fully utilized and spread supervision across a big team.

• Embedded facilities roles (caretaker/porter duties beyond cleaning) that justify a permanent on-site headcount.

  
  

• Unusual security/clearance constraints that severely limit who can work on site.

  
  

If you lean in-house, revisit quarterly: wage changes (e.g., the 2024 step to TT$20.50/hour) and possible future adjustments will push your true cost up over time.

7) A decision checklist you can use this week

• Do I know my fully-loaded in-house monthly cost (A–G above)?

• Can I recover VAT on a vendor’s invoice (if yes, compare net)?

• What is my coverage plan for leave/sickness without service dips?

• How much manager time am I spending per month on janitorial (and what’s that time worth)?

• Do I need specialized equipment/chemicals or certification?

• Which option gives me the best cost predictability for the next 12 months?

Sources & quick references

• Minimum wage: TT$20.50/hour effective 1 Jan 2024 (national). Public-sector minimums may differ.

• NIS: Contribution rates by earnings class; 2016 schedule reflected 13.2% combined rate. Always use the current NIBTT class table for employer share.

• Health surcharge: Thresholds and weekly amounts; employer must deduct and remit.

• VAT: Standard rate 12.5% (consider recoverability in comparisons).

  
  

Clean workspaces are the foundation of employee wellbeing. Make yours a priority.