Why Outsource Payroll
1. You only need to pay who you outsource to for the exact work they do to run your payroll. This means savings in months where there's less work to be done.
2. You’re not relying entirely on one or two members of staff to produce payroll every month, with the potential difficulties of what to do if they are off sick or leave for another job.
3. You don't have to spend time making sure you are on top of any changes HMRC have come up with, and making sure that you comply with changes in the law. Fines for falling foul of HMRC can be substantial.
4. Payroll companies are specialists in what they do, dealing with the payroll of more businesses than your just your own. They have checks and procedures in place. Their experience means mistakes won't get made.
5. Payroll companies are designed to handle confidential information in a secure way. Your employees' details will probably be more safe with them than with you.
6. You can receive reports, analysis and insights from the payroll company. Perhaps the way you've been processing payroll thus far isn't the best way for your business to be doing so.
How To Outsource Payroll
If you decide to go ahead and outsource your payroll, how exactly do you get that done and make sure your business gets exactly what it needs?
You’ll first need to be clear on what you want a payroll company to do for you, as some services are more comprehensive than others. You could hire a firm to simply run payroll for you once a month, while you continue to provide all the information yourself, in-house; or you may go for a full solution service that does absolutely everything for you.
Once you know what you want, ask for recommendations from contacts in other companies, search LinkedIn, speak to your local Chamber of Commerce, or attend some business networking events in your area. Make yourself a shortlist of companies with a great reputation who offer the services you need, and have a chat with a few of them to get a feel for whether they are people you can work with on an ongoing basis.
You should ask them how long they’ve been in business, how much experience they have of your type of business, if they’re fully compliant and up to date, and what their clients say about them. The best companies will have as many questions for you as you do for them and will want to genuinely learn about your business and how they can help.
Once you’ve picked a payroll company you’re happy with and have signed a contract with them, set up procedures at your end and with the chosen firm to ensure everything runs smoothly, and make sure you have someone you can contact if there are any problems.
If you need assistance with your payroll, get in touch with Robinett Bookkeeping now to see how we can help you: 020 8979 6339 or firstname.lastname@example.org or Contact Form