★ COMPARISONS · WORK · COST
Remote wins by $6,600 a year. A remote worker costs $78,000 a year against $84,600 on-location — $6,500 a month against $7,050 — because the office, commute and perks add $9,600 a year while the stipend and software add $3,000. Enter your salary and monthly costs to compare a remote worker with an on-location one.
A remote worker and an on-location worker share the same salary, so the salary never decides the winner — only the monthly extras do. This calculator adds the stipend and software to the remote side, the office space, commute and perks to the on-location side, and says which one costs less per year, per month, over a team and over a horizon — so the number you get is the number on the budget.
A remote worker and an on-location worker share the same salary, so the salary never decides the winner — only the monthly extras do. The remote worker adds a home-office stipend and software; the on-location worker adds office space, a commute and perks. Multiply each monthly extra by 12, add the salary, and the lower total wins. The gap is the saving, per worker, per year.
At the defaults — salary $75,000, stipend $150/mo, software $100/mo, office $500/mo, commute $200/mo, perks $100/mo — the remote worker is $75,000 + ($150 + $100) × 12 = $78,000 a year, and the on-location worker is $75,000 + ($500 + $200 + $100) × 12 = $84,600 a year, so remote wins by $6,600 a year. Per month that is $6,500.00 against $7,050.00, a gap of $550.00 a month. Over 5 years the gap is $33,000, and over 10 years it is $66,000.
| Case | Remote total | On-location total | Winner |
|---|---|---|---|
| Default ($75,000 salary) | $78,000.00 | $84,600.00 | Remote by $6,600.00 |
| Salary $50,000 | $53,000.00 | $59,600.00 | Remote by $6,600.00 |
| Salary $100,000 | $103,000.00 | $109,600.00 | Remote by $6,600.00 |
| Salary $120,000 | $123,000.00 | $129,600.00 | Remote by $6,600.00 |
| Office $300/mo | $78,000.00 | $82,200.00 | Remote by $4,200.00 |
| Office $800/mo | $78,000.00 | $88,200.00 | Remote by $10,200.00 |
| Stipend $300/mo | $79,800.00 | $84,600.00 | Remote by $4,800.00 |
| Commute $0/mo | $78,000.00 | $82,200.00 | Remote by $4,200.00 |
| Software $250/mo | $79,800.00 | $84,600.00 | Remote by $4,800.00 |
| 10 employees | $780,000.00 | $846,000.00 | Remote by $66,000.00/yr |
| 25 employees | $1,950,000.00 | $2,115,000.00 | Remote by $165,000.00/yr |
| 5-year horizon | $390,000.00 | $423,000.00 | Remote by $33,000.00 |
| 10-year horizon | $780,000.00 | $846,000.00 | Remote by $66,000.00 |
| Flip: stipend $800/mo | $85,800.00 | $84,600.00 | On-location by $1,200.00 |
| Flip: software $800/mo | $86,400.00 | $84,600.00 | On-location by $1,800.00 |
Setup: salary $75,000, stipend $150/mo, software $100/mo, office $500/mo, commute $200/mo, perks $100/mo.
Line 1 — the remote total. $75,000 + ($150 + $100) × 12 = $75,000 + $3,000 = $78,000 a year.
Line 2 — the on-location total. $75,000 + ($500 + $200 + $100) × 12 = $75,000 + $9,600 = $84,600 a year.
Line 3 — the winner. $84,600 − $78,000 = $6,600, so remote wins by $6,600 a year.
Line 4 — per month. $78,000 ÷ 12 = $6,500.00 a month against $84,600 ÷ 12 = $7,050.00 a month, a gap of $550.00 a month.
Line 5 — over time and over a team. Over 5 years the gap is 5 × $6,600 = $33,000, and over 10 years it is $66,000. A team of 10 remote workers costs $780,000 against $846,000 on-location, a saving of $66,000 a year; a team of 25 saves $165,000 a year.
Reverse: the stipend breaks even at $700 a month (at $700 the remote total is $84,600, exactly the on-location total), and the software breaks even at $650 a month. There is no office-space break-even: even free office space costs $78,600 against $78,000 remote, so remote still wins by $600. There is no salary break-even: the salary is identical on both sides, so it cancels out. 16 remote workers save $105,600 a year; 15 save only $99,000.
Salary $50,000: the remote worker is $50,000 + $3,000 = $53,000 against $50,000 + $9,600 = $59,600 on-location. Remote wins by $6,600. The salary moved both totals by the same $25,000, so the gap did not move.
Salary $100,000: the remote worker is $100,000 + $3,000 = $103,000 against $100,000 + $9,600 = $109,600 on-location. Remote wins by $6,600. A bigger salary changes nothing, because it is charged on both sides.
Salary $120,000: the remote worker is $120,000 + $3,000 = $123,000 against $120,000 + $9,600 = $129,600 on-location. Remote wins by $6,600. Even at $120,000 the gap is the same $6,600.
Office $300/mo: cheaper office space narrows the gap but does not close it: the on-location worker is $75,000 + ($300 + $200 + $100) × 12 = $82,200 against $78,000 remote. Remote wins by $4,200. The office is $200 a month cheaper, so the gap shrinks by $2,400 a year.
Office $800/mo: dear office space blows the gap open: the on-location worker is $75,000 + ($800 + $200 + $100) × 12 = $88,200 against $78,000 remote. Remote wins by $10,200. The office alone costs $9,600 a year at $800 a month.
Stipend $300/mo: a dearer stipend narrows the gap: the remote worker is $75,000 + ($300 + $100) × 12 = $79,800 against $84,600 on-location. Remote wins by $4,800. The stipend doubled, but it is still $400 a month below the break-even $700.
Commute $0/mo: a free commute narrows the gap: the on-location worker is $75,000 + ($500 + $0 + $100) × 12 = $82,200 against $78,000 remote. Remote wins by $4,200. Even with no commute at all, the office and the perks still cost $7,200 a year.
Software $250/mo: dearer software narrows the gap: the remote worker is $75,000 + ($150 + $250) × 12 = $79,800 against $84,600 on-location. Remote wins by $4,800. The software is $150 a month dearer, so the gap shrinks by $1,800 a year.
Flip — stipend $800/mo: at $800 a month the remote worker is $75,000 + ($800 + $100) × 12 = $85,800 against $84,600 on-location. The on-location worker wins by $1,200. A stipend above the $700 break-even flips the answer.
Flip — software $800/mo: at $800 a month the remote worker is $75,000 + ($150 + $800) × 12 = $86,400 against $84,600 on-location. The on-location worker wins by $1,800. Software above the $650 break-even flips the answer.
10 employees: ten remote workers cost 10 × $78,000 = $780,000 against 10 × $84,600 = $846,000 on-location. Remote wins by $66,000 a year. The per-worker gap is the same $6,600, times ten.
25 employees: twenty-five remote workers save 25 × $6,600 = $165,000 a year: $1,950,000 against $2,115,000 on-location. The saving scales with the team, because every worker carries the same $6,600 gap.
5-year horizon: over 5 years the remote worker costs 5 × $78,000 = $390,000 against 5 × $84,600 = $423,000 on-location. Remote wins by $33,000. The gap is the yearly gap, times five.
10-year horizon: over 10 years the remote worker costs 10 × $78,000 = $780,000 against 10 × $84,600 = $846,000 on-location. Remote wins by $66,000. The gap doubles with the years, because the yearly gap never changes.
Reverse — the break-evens: the stipend breaks even at $700 a month: at $700 the remote total is $75,000 + ($700 + $100) × 12 = $84,600, exactly the on-location total. The software breaks even at $650 a month: at $650 the remote total is $75,000 + ($150 + $650) × 12 = $84,600. There is no office-space break-even: even free office space costs $75,000 + ($0 + $200 + $100) × 12 = $78,600 against $78,000 remote, so remote still wins by $600 — the break-even office price would be -$50.00 a month. There is no salary break-even: the salary is identical on both sides, so it cancels out at any salary. 16 remote workers save $100,000 a year: 15 save 15 × $6,600 = $99,000, which is short, and 16 save 16 × $6,600 = $105,600.
The model assumes the same salary on both sides, so the salary cancels out, and it assumes the monthly extras stay flat for the whole period, with no price rises. It assumes one worker per set of extras, and it prices the salary and the six monthly items only: the stipend and the software for remote, the office space, the commute and the perks for on-location. It leaves out taxes, equipment, recruiting, onboarding, productivity and turnover, which are real but not priced here. Rounding convention: money is rounded to cents, workers are whole numbers, and all figures are computed from unrounded values, rounded only for display.
| Output | Formula | What it means |
|---|---|---|
| Remote total | salary + (stipend + software) × 12 | $78,000.00/yr. |
| On-location total | salary + (office + commute + perks) × 12 | $84,600.00/yr. |
| Winner | lower total | Remote wins by $6,600.00. |
| Gap | |on-location − remote| | $6,600.00. |
| Gap per month | gap ÷ 12 | $550.00/mo. |
| Monthly, remote | remote ÷ 12 | $6,500.00/mo. |
| Monthly, on-location | on-location ÷ 12 | $7,050.00/mo. |
| 5-year gap | gap × 5 | $33,000.00. |
| 10-year gap | gap × 10 | $66,000.00. |
| Team of 10, remote | remote × 10 | $780,000.00. |
| Team of 10, on-location | on-location × 10 | $846,000.00. |
| Team of 10, gap | gap × 10 | $66,000.00/yr. |
| Team of 25, gap | gap × 25 | $165,000.00/yr. |
| Break-even stipend | stipend at which the totals tie | $700.00/mo. |
| Break-even software | software at which the totals tie | $650.00/mo. |
| Break-even office space | office price at which the totals tie | -$50.00/mo — no break-even. |
| Employees to save $100,000/yr | ceil($100,000 ÷ gap) | 16 employees. |
| 15 employees save | 15 × gap | $99,000.00 — short of $100,000. |
| Free office space, on-location | same model, office $0/mo | $78,600.00. |
| Free office space, gap | on-location − remote at $0 office | $600.00. |
| Salary $50,000 | same model, $50,000 salary | Remote $53,000.00 vs on-location $59,600.00, Remote wins by $6,600.00. |
| Salary $100,000 | same model, $100,000 salary | Remote $103,000.00 vs on-location $109,600.00, Remote wins by $6,600.00. |
| Salary $120,000 | same model, $120,000 salary | Remote $123,000.00 vs on-location $129,600.00, Remote wins by $6,600.00. |
| Office $300/mo | same model, $300/mo office | Remote $78,000.00 vs on-location $82,200.00, Remote wins by $4,200.00. |
| Office $800/mo | same model, $800/mo office | Remote $78,000.00 vs on-location $88,200.00, Remote wins by $10,200.00. |
| Stipend $300/mo | same model, $300/mo stipend | Remote $79,800.00 vs on-location $84,600.00, Remote wins by $4,800.00. |
| Commute $0/mo | same model, $0/mo commute | Remote $78,000.00 vs on-location $82,200.00, Remote wins by $4,200.00. |
| Software $250/mo | same model, $250/mo software | Remote $79,800.00 vs on-location $84,600.00, Remote wins by $4,800.00. |
| 10 employees | same model, 10 employees | Remote $780,000.00 vs on-location $846,000.00, remote wins by $66,000.00/yr. |
| 25 employees | same model, 25 employees | Remote $1,950,000.00 vs on-location $2,115,000.00, remote wins by $165,000.00/yr. |
| 5-year horizon | same model, 5 years | Remote $390,000.00 vs on-location $423,000.00, remote wins by $33,000.00. |
| 10-year horizon | same model, 10 years | Remote $780,000.00 vs on-location $846,000.00, remote wins by $66,000.00. |
| Flip: stipend $800/mo | same model, $800/mo stipend | Remote $85,800.00 vs on-location $84,600.00, On-location wins by $1,200.00. |
| Flip: software $800/mo | same model, $800/mo software | Remote $86,400.00 vs on-location $84,600.00, On-location wins by $1,800.00. |
The math is exact for the numbers you enter: the remote total is the salary plus the stipend and the software times 12, the on-location total is the salary plus the office space, the commute and the perks times 12, and the winner is the lower total. What the model cannot do is read your costs for you: check the office rent, the commute and the stipend on your own numbers, because a $800 stipend and a $300 office give opposite answers. It assumes the same salary both ways, flat prices, and one worker per set of extras, and it leaves out taxes, equipment, recruiting, productivity and turnover. For the retirement account that sits behind the salary, see 401(k) vs IRA; for the mortgage term behind the office rent, see 15-year vs 30-year mortgage.
Bright Side Kit. "Remote vs Office Worker: Annual Cost Calculator 2026." https://brightoolbox.com/remote-vs-on-location-workers-calculator/ Accessed October 25, 2026.No — salary cancels out. The same salary is charged on both sides, so only the monthly extras decide the winner. At a $50,000 salary the totals are $53,000 against $59,600; at $120,000 they are $123,000 against $129,600; the gap is $6,600 either way.
Salary plus the monthly extras, times 12. The remote total is the salary plus the stipend and the software times 12; the on-location total is the salary plus the office space, the commute and the perks times 12. At the defaults that is $75,000 + ($150 + $100) × 12 = $78,000 against $75,000 + ($500 + $200 + $100) × 12 = $84,600.
Remote still wins by $600. Even with $0 office space, the on-location worker costs $78,600 against $78,000 remote, because the commute and the perks ($300 a month together) cost more than the stipend and the software ($250 a month together). There is no office-space break-even: the break-even office price is -$50.00 a month.
16 workers. Each remote worker saves $6,600 a year, so 15 workers save $99,000 — short of $100,000 — and 16 save $105,600. A team of 10 saves $66,000 a year, and a team of 25 saves $165,000 a year.
When the remote extras get dear. At a $800 a month stipend the remote worker costs $85,800 against $84,600 on-location, so on-location wins by $1,200. At $800 a month of software the remote worker costs $86,400, so on-location wins by $1,800.
$700 a month. At a $700 stipend the remote total is $84,600, exactly the on-location total. The software breaks even at $650 a month. Below those prices remote wins; above them on-location wins.
Taxes, equipment, recruiting, productivity and turnover. The model prices the salary and the six monthly items only, and it assumes the same salary both ways and flat prices for the whole period. Check the office rent, the commute and the stipend on your own numbers, because a $800 stipend and a $300 office give opposite answers.