Why Outsource Payroll?
Many companies begin with a small team and manage all aspects of the business “in-house”. As the team grows, the demands of payroll and HR administration can often be too much for one employee to handle. If employees are spending too much time managing payroll or HR and not focused on strategic company initiatives, business growth can suffer. Compliance also becomes an issue, with ever-changing regulations and tax requirements. If your payroll and HR administration is getting overwhelming, it’s time to consider outsourcing payroll and HR.
One of the big misconceptions about outsourcing payroll is that you “lose control” of your employee data when you use a payroll provider. Another misconception is that outsourcing is cost-prohibitive for small and mid-sized companies. The truth is that when you outsource payroll, your employee data is more secure and your compliance risk is immediately reduced, due to the expertise of the payroll team and the technology used to manage payroll. Because of advancements in payroll technology, you actually save money by outsourcing, as your staff no longer has to spend time managing payroll and can focus on other business activities.
Payroll compliance can quickly get out of control with new regulations that are passed each year. Minimum wage changes, updates to employee contributions or tax requirements can turn your payroll upside down if your payroll staff is not properly trained. Employers are fined each year for inaccurately paid wages, and it has been proven that employees are more likely to look for new employment if their payroll is not accurate. Using a payroll provider that is CIPP-certified can ensure your payroll is compliant and updated with all employment and tax regulations. Certified Information Privacy Professionals (CIPP) are uniquely trained in privacy and data protection, and ensure any legislation that affects payroll and HMRC filing is done properly and in compliance.
Using payroll and HR administration technology is relatively new in the UK, but the advances over the last several years continue to provide benefits to employers. Integrating your payroll with your HR systems allows you to have full control and real-time access to your employee data and costs. You can spot trends, make adjustments, and even improve company morale by using the latest payroll and HR administration technology. If you are struggling with compliance, or just looking for a better way to manage your payroll operations, talk to us today. We can help simplify your operations, manage compliance, and save time and money!