Outsourcing payroll to a professional company has become far more common than you think it is. A recent survey it shows that over 39% of the US companies have admitted that they outsource their payroll to professional companies and 43% even outsource the payroll tax responsibilities. The numbers are staggering, but why? You may argue that why should you hire a different company for handling payrolls when you have an HR team that should be handling such matters. Well, here’s what you need to know:
• Time saver – if there is anything that outsourcing payroll does, it saves time for you and your company. Processing payrolls take a lot of time and they have to be done accurately. The salaries of all the employees have to be calculated along with the deductions. This requires the eye of a professional and not HR employees who have a lot of other work to do. There are so many details and data to work with that mistakes can be made quite easily. But more than mistakes, it is the time that you save is important.
• Saves money – as you save more time by outsourcing the payrolls, you save a lot of money. Generating the reports require ink and paper that becomes an additional cost every month. When you outsource the payroll to a professional company, you are assured that everything will be taken care of by the respective company and you will get accurate payrolls at the end of the month.
• Avoiding mistakes – calculating the salary of an employee does not require special powers. You just have to be careful, that’s all. But imagine calculating the payroll of hundreds or thousands of employees at the end of the month. From calculating the tax deductions to including incentives and bonuses, the calculations get damn tricky for many of the employees. There are high chances that the HR team will make mistake if they are not attentive enough. That is why it is better to hand over the work to a company that is well-known for handling payroll calculations.
UptoDate Bookkeeping is a popular company that has over two decades of experience in handling payrolls of different companies. We have a dedicated team who look after the accounts of various companies and prepare their payrolls every month. You can contact us if you want to outsource the payroll of your company to someone you can trust.