Over half of British businesses outsourced their payroll to an external company in 2022.
Payroll may seem like something you can manage on your own but, let’s face it, it’s a demanding task.
You have to keep up to date with HMRC payroll deadlines, employee classifications, record keeping, tax codes, National Minimum Wage rates/rules and accurate and timely payslips to name just a few.
Outsourcing takes care of all these functions and allows you to focus on what’s important – growing your business.
Here are the top 5 reasons why over half of British businesses outsource their payroll:
1) Minimise Errors
Payroll errors can lead to either underpayments or overpayments of workers’ wages. If these mistakes result in a violation of employee rights, they can become illegal. It may also be difficult to recover overpaid wages from departed members of staff. To avoid such risks and ensure the right payment to employees, it is always recommended to seek the assistance of payroll experts. They can provide you with peace of mind by minimising errors.
2) Maintain Compliance
Non-compliance with payroll regulations can result in fines and penalties. As data protection laws and tax regulations are constantly changing, businesses must stay up-to-date. Outsourcing payroll to a professional can relieve you from the stress of worrying about the legal aspects and compliance of your payroll processing.
3) Access the latest technology
Payroll service providers utilise the latest and most advanced technology available on the market. This technology enables automatic enrollment for pensions and provides a real-time information system. The use of the latest payroll technology ensures that personal data and records are secure and up-to-date.
4) Scalability and Flexibility
If you outsource your payroll, you can easily scale your payroll processing as your business expands. As you hire more employees, contractors and casuals, payroll can become more complicated to manage. By outsourcing payroll to a specialist, you can expect flexible management of employee data and stress-free scaling of your payroll.
5) Save Time
Last but not least, ensuring 100% accuracy takes time and care. By outsourcing your payroll, you can spend more time on your core business activities instead.
What responsibilities are included in payroll?
Payroll responsibilities can include:
- Payroll and pension processing
- PAYE scheme set up
- Real-Time Information
- PAYE reminders
- Digital, portal and hard copy payslips
- Security measures for safeguarding company and employee information
- Ensuring compliance with government regulations
- End-of-year processing
- Processing of net wage payments
- Ensuring you claim all the allowances and reliefs your business is entitled to
How much does it cost to outsource payroll?
At 360, Chartered Accountants, we’re upfront and honest about our costs, ensuring that you’re never surprised with any hidden fees. The 5Four Payroll service we offer is an all-in-one payroll solution with a fixed price.
Prices start from as little as just £9 per month thanks to our automation processes allowing us to achieve economics of scale at a great price.
Are you handling payroll processing yourself?
Don’t let payroll become a burden on your valuable time and resources.
Our team of skilled and experienced payroll experts are ready and waiting to answer any of your questions about payroll.
Contact us today:
Hull Accountants: 01482 427360
York Accountants: 01904 217360
