What does it cost to get an Employee Handbook? Many wonder how much they should pay for an employee handbook. That price really depends on which of the following three paths you choose to follow:
- Do-it-yourself (template)
- HR consulting company (custom designed)
- Lawyer (legally strong but no customized)
1. Do-it-Yourself Path: Many consider buying an employee handbook template online, which can cost from $50 to $350 or more. A decent one will cost you at least $200. The features such a template must have are:
- Does the template include state-specific sections? Many regulations differ by state, such as overtime, discrimination laws, jury duty, vacation pay, etc.
- Does the template include size-specific sections? Some regulations differ also by size, including FMLA, Pregnancy Leave, Sick Leave, etc.
Even if the employee handbook template you purchase is a decent one, expect to invest 100-140 work hours into research, editing, and customizing. You will need to become familiar with your state’s labor laws to make sure the final handbook complies to state laws. Most templates are purchased online.
Cost to you: about $250, plus 100+ work hours.
2. Consulting Company path: This is the best value for most organizations. Hire a consulting company to create your Employee Handbook. The consulting company will conduct an interview to determine your current employee policies and survey what will be required considering your industry, location, and size. Pricing starts at $1,500, so it initially costs more than the DIY path, but in reality it will save you both time and money. See the links below for more information.
Cost to you: About $1,500 to $3,000, plus a few hours reading through the various drafts.
(Get a 10% discount if you mention the Promo Code: HRQA)
In addition, a consulting company can add custom policies that are unique to your organization, which a template would not offer.
3. Attorney-approved Path: This route is by far the most expensive for an organization. Hiring a Labor Lawyer to design an employee handbook can cost $5,000 to $9,000 or even more. Is it worth the price? Yes, if you run a highly regulated business or one considered to be at high-risk for lawsuits. Be sure to find a lawyer who focuses on employer needs, since many labor lawyers make their money representing employees suing their employers.
Cost to you: Average about $7,000, plus a few hours to review what was created.