Did you know that unlawful retention of employees’ payment is punishable by law?
Well, apart from the legal implications, running payroll functions in-house may be time-consuming. The best way to handle this issue is by hiring payroll outsourcing services. This not only ensures the employees get paid on time but also saves you time to focus on growing your business.
To understand more, here are some of the benefits of outsourcing payroll:
1. Increased Productivity and Time Saving
Keeping track of payroll calculations, deductions, and time-offs can be a daunting task. At times, you may need to recheck the details and calculations to make sure they’re accurate. It gets worse when you have more employees.
Outsourcing frees up your in-house team allowing them to focus on core business goals.
2. Reduced Costs
Contrary to what many business owners believe, payroll outsourcing can be cost saving. In fact, hiring or training your existing employees on payrolls can be expensive.
Also, if your payroll team fails to follow government laws, it can result in expensive fines. Payroll outsourcing companies have professionals trained with respect to the law to ensure total compliance. Thus if you’re in Australia, look for payroll services Australia for maximum compliance.
With an in-house team, there’s the risk of data theft and funds misappropriation. The case is no different when using your company’s payroll software. The servers may be hacked and sensitive information extracted.
Outsourcing payroll guarantees payroll data privacy, reducing the risk of embezzlement of funds. Additionally, most outsource company servers have technology that detects various payroll frauds.
4. Guaranteed Accuracy
There are a lot of calculations and record keeping that goes in processing payrolls. This requires great attention to details to avoid missed or underpayments. Your in-house team may not have the most efficient auditing technology and skills. This compromises on the accuracy when processing payrolls.
Outsourcing payroll services from qualified providers ensure accuracy in payments, thanks to their expertise and latest payroll technology.
5. Timely Payments
Processing payrolls is an activity that requires a constant update of information. Keeping in mind that your in-house accountants and the human resource may sometimes be too busy with other important business functions, processing in-house payrolls may be quite hectic and slow. In turn, this may result in delayed payments, thus attracting government penalties and fines.
You can save your company from hefty fines by outsourcing payroll services from a trusted service provider. Besides, ensuring your employees are paid on time keeps them motivated, boosting productivity.
Hire Payroll Outsourcing Services Today
Like any other non-core business functions, payroll management can get in the way of your company’s productivity. As such, it’s recommended that you hire payroll outsourcing services to save you the stress that comes with in-house payroll processing. But, before hiring one, make sure you choose a company that’s certified and has positive reviews from previous clients.
For more insightful reads, check out our Business Advice blogs.