Payroll is one of those housekeeping tasks that can eat up a lot of time each month. Many business owners are choosing to outsource their payroll in order to get professional and high quality payroll services. Here are some of the biggest benefits of handing over this task.
If you are a small business without a full time accountant or bookkeeper, then payroll calculations can be especially taxing to the business. It can take countless hours to key in the payroll numbers, double check for errors, and check on any extenuating circumstances with administering your payroll. The load of completing payroll each cycle can also be taxing for larger business, since it's a task that needs regular maintenance. Payroll is one of the simpler ways to free up time on your calendar. A professional payroll service should have it down to a science in providing excellent and reliable payroll services.
Keeping the Process Secure
Security can be an issue that comes up surrounding payroll. If you're keeping the payroll data on your own server, then you'll need to make sure to invest in a strong server that's difficult to break into; otherwise you could be facing a major issue with leaked payroll data. These payroll records may also have confidential employee data in them, such as direct deposit account numbers. Payroll companies specialize in maintaining a secure and functional system.
Another issue that can come up around payroll safety is entrusting an employee with the task of doing payroll. Embezzlement can be a risk, as can theft of confidential information. With a payroll service, like Grenning & Co Bookkeeping, you control how much or how little oversight your payroll specialist has into your financial accounts.
Make Sure You're Following Best Practices
Another benefit of hiring a payroll service is that you can make sure you're complying with all of the applicable government laws. For instance, your payroll specialist will take care of all of the documentation around your payroll for tax and government purposes. They will make sure that you're complying to your local laws regarding tax withholdings. Having a knowledgeable specialist to help you comply simply takes another task off of your list of things to keep in mind.
So, to sum it up, hiring outside payroll services can save time while also making your process more secure and accurate. It's worth getting an estimate and doing a time and cost analysis to see if hiring a payroll service can save your company money, or at least allow you to break even while reaping the benefits of an improved system.