Why Outsourcing Payroll Administration Can Benefit Your Business

People love paychecks but nobody likes payroll administration, and it isn’t a mystery why. Running a small business means people have to wear two or three hats at a time, and payroll administration is an ongoing task requiring a significant amount of time and resources. Many businesses find outsourcing their payroll benefits them with both time and monetary savings.

Payroll Administration Is Not Easy
Payroll requires a lot of attention to a myriad of details. Besides the hours worked by employees, there are benefits, retirement accounts, allotments, raises, modified work schedules, and taxes that require constant maintenance.

But that is only the tip of the iceberg. The real challenge of payroll administration is to stay on top of the ever-changing landscape of labor law compliance issues, tax laws, and the responsibility of maintaining employee confidentiality.

So, payroll is not something that can be a “tack on” to an employee’s workload.

Here’s How To Make Your Day A Little Easier
Outsourcing your payroll frees up one of your most valuable resources: time. But, our clients have also realized benefits in the other areas:

1. They save money on training. Payroll requires people with specialized knowledge of local, state, and federal laws. These laws change every year, and businesses have to keep abreast of all the changes and their applicability. This requires training, a costly and time-consuming process. And, don’t forget about the Affordable Care Act, maintaining compliance is also a part of the payroll process.
2. You don’t need to worry about the changing technology involved with payroll. A dedicated HR company will use the most efficient technology available. This is a capital expense you won’t have to purchase, and you also won’t have to fund the IT structure necessary for payroll.
3. Maintaining employee confidentiality is a critical task. Most employees like direct deposit and that means your company is responsible for collecting and managing their names, social security numbers, and financial information. Outsourcing to an HR company eases that burden significantly.

What You Need To Focus On
As a small business, you need to focus on your products, mission, and core competencies. But, at the same time, you also need to provide excellent services to your employees. The one area you don’t want to have problems with is their paychecks.

Outsourced payroll administration is a time saver, and allows you to focus on your business. It allows your management team to focus on their departments. In other words, it allows you to optimize your team, so they are free to be as productive as possible.

We understand that small businesses need to operate at high levels of optimization. Employees feel more secure when they know there are no problems with the payroll system, and they can count on transparent and accurate paychecks. This security is an essential part of employee morale and engagement.

It is all part of our integrated plan that helps streamline processes, designs reproducible systems, and improves employee engagement and morale. We would be more than happy to consult with you to explain how we can help your business, and discuss your current situation. Please feel free to contact us to discuss this, or any other, issues you have.