The 5 Top Reasons Small to medium business Should Outsource
Without a payroll expert behind it, the most advanced payroll software runs the risk of being non-compliant. With knowledge of the ins and outs of payroll legislation, payroll experts can set software up with the right configurations and data, confidently manage the complexities of payroll, and identify and solve any potential pitfalls in leave calculations.
Changes to payroll are constant and requires someone to keep up with all the changes, having a payroll expert ensures you are covered when there are changes in tax laws and legislation. By outsourcing the functions of your payroll department, you can eliminate the need for costly transfer of information between former and new employees. Outsourced payroll services can be relied on to maintain a consistent approach to payroll management
Free up time and stress, more time on your business. How much time do you spend on payroll? Do you have employees querying their pay or leave balances, do you struggle with understanding how to use your payroll software and have to read resources, or maybe you call or email your software provider regularly.
Do you enjoy dealing with the IRD? Have someone else make sure your IRD responsibilities are taken care of so you are not slapped with an IRD bill.
Focus on your core business
Outsourcing payroll services allows an organisation to focus on the business functions that generate revenue and invest in strategic resources that increase value and drive growth.
Confidentiality – Do you want the payroll administrator knowing how much their colleagues earn?
It’s no secret that the quality of the work your employees produce is directly correlated to how you happy they are which is why paying your employees correctly and on time is paramount to nurturing a productive work environment full of happy employees. A competent payroll management service saves you a lot of time and resources that you otherwise would have to dedicate to this task. It is an essential but, nevertheless, non-productive task.
While large organizations can afford and justify maintaining their own in-house payroll department along with all the staff and equipment it requires, small/medium businesses will have difficulty doing the same. If your business has fewer than 50 employees, there’s a very good probability that you can stand to save a sizable amount of money by outsourcing your payroll operations to an experienced payroll management firm. In fact, cost saving is actually by product of payroll outsourcing as most organizations that chose outsource their payroll to drastically simplified the complex process of proper payroll management and eventually realized that it also proved to be the most cost-effective option compared to doing it by themselves.