Many businesses debate whether to run their payroll in-house or whether to outsource it to an accountant.
Outsourcing does come with a wealth of benefits for UK businesses, not least, tapping into the expertise and knowledge of accountants who are already well-versed in tax laws, employment regulations and HMRC compliance. We’ve listed a few other advantages below so you can decide for yourself how valuable it is to outsource your payroll management.
- Minimises the risk of error: Payroll is a very technical area and lots of things can go wrong when it comes to running your payroll, from not paying the correct minimum wage or forgetting to auto-enrol employees for pensions, to calculating salaries incorrectly.
- Saves time: Managing payroll comes with a lot of admin. Outsourcing can free up your time so you can spend it on core activities and strategic priorities rather than administrative tasks.
- Reduces legal risks and penalties: Professional accountants can make sure you’re being totally compliant when it comes to tax and employment law issues, helping to prevent any costly errors and penalties.
- Saves on cost: Outsourcing reduces the need for an in-house payroll department, which includes hiring, training, and retaining staff. It also eliminates costs associated with payroll software and infrastructure, so overall tends to be much more cost-efficient.
- Reduces the risk of data breaches: Accountants often have stringent data security protocols in place to protect sensitive payroll information, eliminating the risk of data breaches.
- Helps with flexibility: Outsourcing allows you to scale payroll services up or down based on the number of employees, making it easy to adapt payroll needs to your growth.
- Consistency: Accountants will run payroll in an accurate and timely fashion. Outsourcing also reduces the risk of disruption through staff turnover or annual leave.
- Improved Reporting: Accountants can provide detailed payroll reports and analysis, which can be valuable when it comes to financial planning and decision-making.
- Tailored Services: Accountants can provide customised payroll services to meet the specific needs of your business, including handling bonuses, commissions, and any other unique compensation structures.
Outsourcing your payroll doesn’t actually cost a lot, but can alleviate a lot of stress from the day to
day management of your business. Make sure you select an accountant or firm with
experience in payroll processing to help you maintain a smooth operation.
At Bernard Rogers & Co, we can help with all of the above. We don’t just process payroll, we also
look after auto-enrolment duties on pensions and use a great software platform to deliver a smooth
and efficient process for managing your payroll throughout.
