Whether you are a small business owner or an HR representative of a large company, you know that payroll can be a real headache no matter the size of your business. Not only do you need to stay up-to-date with ever-changing payroll legislation, but you also need to be sure absolutely everything is in order when you submit your business taxes with HMRC in order to avoid penalties.
Keep up-to-date with all rules and regulations
Calculating taxes is a complex process, mostly because HMRC regulations change on a regular basis. Keeping up with all changes is essential, as you need to be informed about all new legislation. Failing to notice even one small change to HMRC’s rules can lead to major accounting issues and put your entire business at risk.
The good news is that you don’t have to spend precious time dealing with tax codes for every member of your staff and calculate the correct national insurance contributions and income tax, as you can easily use an outsourced payroll service to take care of everything for your company.
Increasing productivity with outsourced payroll
One of the main benefits of outsourcing payroll is the increase in productivity you will notice almost immediately. Paying your employees correctly and on time is essential, and any mistake can be quite costly. Outsourcing payroll will free up time, so your employees will be able to focus on the actual business aspects that increase productivity.
Save time and money
Managing your own payroll is an administrative burden that may take up to 20% of your time, according to studies. By outsourcing your payroll, you can save time and money while knowing all the costs in advance.
Moreover, you won’t need to deal with HMRC yourself. When you decide to outsource your payroll, you will not have to incur any IT and training costs, as you would do if you have your own payroll department. This means that you don’t have to worry about any capital expenditure in the form of computer and stationary.
No need for a payroll department
When you run your own payroll department, you often need to hire dedicated staff to take care of all aspects of paying the employees and getting all the taxes right with HMRC. You will also need to organise cover for staff on leave, which may sometimes be unplanned. By outsourcing payroll, you don’t have to worry about any of this, and you can have peace of mind knowing that everything is being taken care of for you.
Growing your business faster is possible when you focus on the aspects that truly lead to productivity and growth. While getting your taxes right with HMRC is vital, doing it on your own is a time-consuming process. By outsourcing payroll, you allow your employees to focus on the core business while making sure you have every aspect of taxes handled by professionals.