Yahoo Finance The Real Cost of Returning To the Office — And When Is It Worth It?
Many employers across the U.S. required their employees to return to work right after Labor Day in 2023 after they had worked from home for the past few years. According to a ResumeBuilder survey of 1,000 companies in August 2023, 90% of companies plan to have their workers return to the office by 2024.
Read: I’m a Frugal Self-Made Millionaire: 6 Things I Never Waste Money On
Find Out: 5 Unusual Ways To Make Extra Money (That Actually Work)
Unfortunately, returning to the office will result in extra expenses being added to your budget, which can add up to more than just a few hundred dollars.
Owl Labs’ State of Hybrid Work 2023 survey released in September found that American employees spend at least $51 each day they work full-time in an office away from home.
While this report was released last year, the research was conducted in June, so we can compare inflation figures from that year. Based on recent BLS data, inflation has slowed down to 3.3% for the 12 months ending in May 2024, so these prices shouldn’t be too far off.
Here’s a breakdown of typical daily expenses:
Parking: $8
Breakfast/Coffee: $13
Lunch: $16
Commute: $14
Pet Care (if needed): $20
Unfortunately, those work expenses add up to at least $255 per week (without pet care) or $1,020 monthly.
If you’re having to return to work after working from home for a few years — or you’ve been working from the office all along and know you’re spending too much — here are five ways to cut back on your workday expenses.
Learn: This $5 Bill is Worth Over $2,000 — Look for This in Your Wallet
Wealthy people know the best money secrets. Learn how to copy them.
Parking
According to the survey, workers typically spend $40 per week on parking fees. One way to save parking money is to carpool and divide the parking fee. You can also consider taking public transit or look into cycling if your work is close enough.
Additionally, if you miss out on cheaper parking spaces because you arrive too late to snag them, adjust the time you leave for work to 20 minutes earlier. That way you can get a cheaper parking space and save money on parking.
Try using SpotHero — or another service like it — to find and reserve cheaper parking in advance.
Breakfast/Coffee
To avoid spending $65 a week on breakfast and coffee, make time to eat breakfast at home or stash some non-perishable breakfast foods in your desk or some containers of yogurt in the office refrigerator.
As far as coffee, you can brew your own coffee at home and pour it into an insulated cup to take with you to work instead of stopping at your favorite coffee place.
Or you can pool funds with your co-workers to buy a Keurig and the coffee pods to go with it and brew your coffee at the office.
If you’re not into pods, consider a traditional coffee pot, but someone will need to clean the pot and machine each day.
Lunch
Eating lunch out each day can add up to $80 per week based on the survey. With take-out prices increasing 4% on an annual basis, you may want to ensure that you do your best to always prepare a lunch. Make a sandwich at home, claim leftovers from dinner, or if you’re really on top of it, meal prep each week.
You can also keep non-perishable foods, like meal replacement bars or soup with pop-top lids at your desk for those days when you forget your lunch from home.
If you do go out to lunch at a restaurant, get more bang for your buck by asking for a to-go box when you order, and when your meal arrives, immediately put half of it in the box for the next day’s lunch.
Another option is to ask a coworker if they would like to share an entree (and its cost).
Commute
According to the survey, commuting costs can total up to $70 weekly. However, based on research from Finder.com, the cost will depend on the state and the distance. The data found that the cost of driving 25 to 30 miles to work, would cost an American an average of $14,124.11 annually (including parking and buying lunch).
Just like saving on parking costs, you can save on commuting by carpooling or even utilizing public transportation.
You can also sign up for fuel rewards programs or use a rewards credit card that offers fuel purchases as a rewards category to save money.
Pet Care
Pet care, which can cost you $100 per week, is a difficult expense to reduce unless you have someone who will do it for free.
If it’s convenient, consider asking an animal-loving friend or family member who works from home (or is at home most of the day) if you can drop off your pet with them several times per week on your way to work. Offer to do something for them in return each week, such as pick up their grocery order on the way home from work and help out with other tasks they have on their to-do list.
Additional Considerations For Returning to The Office
According to a Fortune survey, employees are spending the equivalent of a month’s worth of groceries on returning to the office, which is causing major disruptions to routines. The survey also found that those mandated to return to the office reported higher levels of burnout, stress, and turnover. While you can’t truly quantify this expense, the hidden cost of returning to the office for many is decreased productivity and lower quality of life, which will definitely impact employers for the next few years.
When Is Returning to The Office Worth The Cost?
While returning to the office comes with additional expenses, it can be worth the cost in certain situations. According to research from BetterUp, in-person interactions increase life satisfaction and social connectedness, as many people can become lonely when working from home. While some employees may thrive working from home, others want to feel a social connection to their co-workers so that they can feel more connected. Sometimes, it’s crucial to change your environment so that you can be more productive and so that you can create a better work-life balance.
With that being said, we can’t deny the significance that a commute to work has on one’s financial and mental well-being.
Martin Dasko contributed to the reporting for this article.
More From GOBankingRates
These 10 Used Cars Will Last Longer Than an Average New Vehicle
6 Things to Try This Week if You're Behind on Your Savings Goals
4 Reasons Retired Women Need More Money Than Men -- And What To Do About it
This article originally appeared on GOBankingRates.com: The Real Cost of Returning To the Office — And When Is It Worth It?
