Rex says
Money math without the spreadsheet headache. Plug in your numbers and I'll show you exactly where the dollars land.
Try a scenario
Click to load — tweak from there.Inputs
Result
Lower annual cost option
Agency
In-house team annual cost
$172,400
Agency annual cost
$86,000
Annual difference
$86,400
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How to use this
- 1Enter in-house marketing headcount.
- 2Enter average salary per hire ($).
- 3Enter benefits + payroll tax load (%).
- 4Enter in-house marketing tools/software ($).
- 5Enter agency monthly retainer ($).
- 6Enter agency annual ad-hoc project fees ($).
- 7Read your lower annual cost option on the right — it updates as you type.
- 8Hit Share to keep the scenario or send it to someone.
About this calculator
An in-house marketing team costs salaries and benefits but builds institutional knowledge and full-time attention, while an agency charges a retainer and often has more specialized skill breadth but divides attention across clients. This tool compares the fully-loaded cost of an in-house team against a monthly agency retainer plus ad-hoc project fees over a year, so you can see which model costs less at your marketing spend level.
Worked example
Using the values the calculator loads with:
Inputs
- In-house marketing headcount: 2
- Average salary per hire: 65000 $
- Benefits + payroll tax load: 28 %
- In-house marketing tools/software: 6000 $
- Agency monthly retainer: 6500 $
- Agency annual ad-hoc project fees: 8000 $
Results
- Lower annual cost option: Agency
- In-house team annual cost: $172,400
- Agency annual cost: $86,000
- Annual difference: $86,400
What each field means
Inputs
- In-house marketing headcount
- The in-house marketing headcount used in the calculation. Starts at 2 so you have a working example on load.
- Average salary per hire ($)
- The average salary per hire used in the calculation, measured in $. Starts at 65000 $ so you have a working example on load.
- Benefits + payroll tax load (%)
- The benefits + payroll tax load used in the calculation, measured in %. Starts at 28 % so you have a working example on load. Accepted range: 0–60 %.
- In-house marketing tools/software ($)
- The in-house marketing tools/software used in the calculation, measured in $. Starts at 6000 $ so you have a working example on load.
- Agency monthly retainer ($)
- The agency monthly retainer used in the calculation, measured in $. Starts at 6500 $ so you have a working example on load.
- Agency annual ad-hoc project fees ($)
- The agency annual ad-hoc project fees used in the calculation, measured in $. Starts at 8000 $ so you have a working example on load.
Results
- Lower annual cost option
- Returned as a plain value and shown as the headline result. It recalculates instantly whenever you change an input, so you can compare scenarios without reloading.
- In-house team annual cost
- Returned as a money amount in US dollars. It recalculates instantly whenever you change an input, so you can compare scenarios without reloading.
- Agency annual cost
- Returned as a money amount in US dollars. It recalculates instantly whenever you change an input, so you can compare scenarios without reloading.
- Annual difference
- Returned as a money amount in US dollars. It recalculates instantly whenever you change an input, so you can compare scenarios without reloading.
FAQ
Does an agency offer skills an in-house team can't?
Often yes — agencies typically bring specialized skills across paid media, SEO, and design that would take multiple in-house hires to replicate individually.
When does in-house clearly win?
Once your marketing spend and headcount need scales past 2-3 dedicated people, in-house salaries usually undercut an equivalent agency retainer while giving you more day-to-day control.
Can I do a hybrid model?
Yes — many companies keep a lean in-house team for strategy and brand while outsourcing execution-heavy or specialized work like paid ads or video production to an agency.
Accuracy and limitations
- Results are estimates before tax, fees, and inflation unless an input explicitly covers them.
- Rates are treated as fixed for the whole period — variable-rate products will drift from this projection.
- This is educational maths, not financial advice. Check anything contractual with the lender or your accountant.
Related tools
Cite this calculator
Writing about this topic? Grab a citation — every link helps keep these tools free.
RevenueLab. (2026). In-House vs Agency Marketing Cost Calculator. Retrieved from https://www.revenuelab.fyi/toolbox/in-house-vs-agency-marketing-cost
<p>Source: <a href="https://www.revenuelab.fyi/toolbox/in-house-vs-agency-marketing-cost" target="_blank" rel="noopener">In-House vs Agency Marketing Cost Calculator — RevenueLab</a> (2026).</p>
Source: [In-House vs Agency Marketing Cost Calculator — RevenueLab](https://www.revenuelab.fyi/toolbox/in-house-vs-agency-marketing-cost) (2026).