One of the biggest headaches for businesses with any number of staff is payroll. It has to be done within specific times, there’s tax and national insurance to handle and it can get complicated. Sometimes it can dominate the lives of your HR team and this isn’t what you want them to do. The answer may seem to be using a payroll bureau but there are some disadvantages to this option.
Disadvantages of a payroll bureau
While it is true that a payroll bureau will take some of the weight off the shoulders of your staff with regards to payroll, it isn’t a comprehensive service. In fact, a payroll bureau will normally only take some of the payroll duties.
When you work with a bureau, you will still need to collate a lot of data. This will include calculating overtime, sorting out updates to statutory payments such as sick pay and maternity and also working out pension and national insurance contributions. This means that you may still need someone working full or part-time on the payroll in the company.
Because you still need someone in the company who handles some of the payroll tasks, this also means you need to constantly invest in training for that person. Legislation around tax, national insurance and other payroll issues can change quite rapidly and there’s a constant need to make sure you are up to date.
If you are handling any payroll issues in-house, that person will always need to be to date. This means allocating time and resources for their training in addition to the time and resources needed for the payroll tasks themselves.
Is there another option?
If this all sounds like a headache and more work than you had hoped for, the good news is that there is another option. With an outsourced payroll service provider, all your payroll needs will be taken care of.
With outsourced payroll, you don’t need to have someone within the business to handle the payroll in any way. The company handling the payroll will collect all of the information from the software provided and will handle all of the tax and national insurance issues. This ensures staff are paid on time, correctly and that contributions are handled as part of the process.
Additionally, you won’t have the costs associated with training someone to manage payroll tasks and keep up to date on legislation. When you work with payroll experts, they are always up to date on the latest regulations and what is needed, when.
Benefits of outsourcing
Some of the other benefits of outsourcing include that you don’t need to worry about dealing with HMRC or other government bodies about payroll issues. There’s no need to worry about confidentiality or security as payroll experts have the highest standards built into their systems.
At Trace Payroll, we believe in personal relationships with our clients. You’ll get an account manager who will be your one payroll contact and will know all there is about your payroll and business as a partner, not just a provider. To find out more about outsourced payroll, get in touch today by calling us on 0845 873 5619 or use our contact form.