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Real Estate Agencies: Managed Payroll for Small Businesses (Under 25 Employees) (2026)
Managed payroll at $25-$45 PEPM all-inclusive makes economic sense at nearly every size for real estate agencies, but the specific value drivers differ depending on headcount.
Payroll at Different Sizes for Real Estate Agencies
| Real Estate Agencies Size | Monthly Cost | vs. In-House Hire |
|---|---|---|
| Small brokerage (5-15 staff) | $125-$675/mo | Save $53K-$78K/yr |
| Mid-size team (15-50 staff) | $375-$2,250/mo | Save $48K-$73K/yr |
| Regional brokerage (50-200 staff) | $1,250-$9,000/mo | Save $25K+/yr |
The comparison is against an in-house hire at $55,000-$80,000 fully loaded to $57K-$83K per year.
Under 25 Employees: The Clearest ROI
For real estate agencies under 25 employees, in-house payroll cannot be justified. A payroll coordinator costs $55,000-$80,000 fully loaded -- compared to $625-$1,125/month for managed payroll. The savings pay for a year of managed payroll in the first 2-3 months.
25-75 Employees: Complexity Drives the Case
In the 25-75 employee range, real estate agencies are dealing with more commission-only agent payroll, agent contractor vs W-2 classification, split commission processing, draw-against-commission structures. An in-house generalist is less likely to have the depth needed in these areas. Managed payroll provides specialist coverage that reduces exposure.
75-200 Employees: Hybrid Approaches Emerge
At 75+ employees, real estate agencies often consider a hybrid approach: an HR generalist handles employee relations and benefits while a managed payroll provider handles the compliance-heavy payroll function. This keeps an internal HR presence while outsourcing the most technically complex piece.
How to Get a Quote for Your Real Estate Agencies
BEG quotes managed payroll based on your actual headcount and pay frequency. For most real estate agencies, the first discovery call includes a custom cost comparison against your current setup.
Managed Payroll, Handled.
BEG manages payroll at $25-$45 per employee per month, all-inclusive. Get an instant cost comparison for your business.
Frequently Asked Questions
How do you handle 1099 agents vs. W-2 support staff?
Licensed agents working as independent contractors receive 1099-NEC for commission income. W-2 administrative staff are processed through payroll. We handle both payment types and produce the correct year-end forms.
Can you process draw-against-commission payroll?
Yes. Draw advances are processed through payroll with correct tax withholding, and the draw balance is tracked against earned commissions.
What about year-end 1099s for independent contractor agents?
We produce and file 1099-NEC for all independent contractor agents who received $600 or more in commission income during the year, including electronic filing with the IRS.
What does BEG charge for real estate agency payroll?
Real estate payroll runs at $25-$45 per employee per month for W-2 staff. For a team with 10 W-2 support staff, that is $250-$450 per month covering payroll, tax filing, and year-end forms.
Related Resources
Anthony leads payroll solutions at Business Executive Group, a national managed payroll firm serving businesses across industries including Real Estate Agencies. BEG manages payroll at $25-$45 PEPM, all-inclusive, with deep expertise in compliance, multi-state filing, and industry-specific payroll requirements. Get instant pricing at beghr.com.
Authoritative source: U.S. Department of Labor: Wage and Hour Division
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