Is outsourced IT cheaper than hiring someone in house?

A competent full time IT person costs a salary plus benefits, and you still need tools, licensing, and coverage for when they are out or asleep. For most businesses under about 30 people, a managed agreement costs less than that and covers more hours.

Above that, an internal person plus a provider for after hours coverage, projects, and security often works better than either alone. We do that arrangement with several clients.