Thinking about outsourcing your payroll? Keeping up to date with your payroll can be a painful task every week or month. It’s absolutely critical that you get it right, not only from your employees point of view, but also for the HMRC and, as an employer for you and your company also.
Perhaps running the payroll is not really something that takes up part of your normal working day, and it’s something that you ‘cram’ in when you have to. It can become a real headache if you don’t enjoy it and it’s a challenge for you. Have you ever considered outsourcing your payroll to a company that actually enjoys it? As they say, if you enjoy what you do, you’ll do it well, if you don’t enjoy what you do, you won’t!
What you absolutely must know when you’re managing your own company payroll is:
The amount you’re paying each employee
How much you will need to deduct from each employee’s salary for taxes and other payments
The total amount of money you’ve paid to your employees, how much as been deducted and for what reasons
All of the above is a lot to get your head round and to keep up with, especially when changes to the taxation rules come into play.
By outsourcing your payroll, you’ll quickly see the 3 big benefits of doing so.
1. Outsourcing your payroll saves you money
If you consider the amount of time you spend on managing your payroll against the amount of time you spend actually creating sales and profit, you’ll be quids in when you outsource your payroll. Remember that what you’re good at is running your business, generating sales and maximising profit. You’re not making money when you’re engrossed in managing your payroll. Also, by outsourcing your payroll, you won’t have the added cost of employing someone to do it for you.
2. Outsourcing your payroll will be HMRC compliant
Remember that expertise is required when handling payroll, both for your employees and the HMRC. With taxation laws forever changing, such as the recent 1.25% levy on National Insurance for 2022/2023, it’s important that these changes are picked up on and incorporated into your payroll. It’s often very difficult to keep up to date with the changing laws surrounding taxation, and mistakes can easily escalate with the HMRC, landing you perhaps in very hot water indeed!
But rest assured that when you outsource your payroll to an expert, then you’ll be able to run your business more effectively and any stress you may have had when dealing with your company payroll, will quickly become a thing of the past!
3. Outsourcing your payroll will make your employees happier
Your employees work better when they’re happy and satisfied that they’re working for a professional company that’s growing and is profitable. If they know that they’re going to get paid on time, and that their PAYE contributions are correct, they’ll be happy and worry free. A happy and ‘worry free’ workforce sounds like utopia to the average employer! Not only that, but as an employer, you’ll be happier and more productive too!
We are Makinson and Co – trusted and highly respected accountants serving clients in and around Gloucester for many years. We have a full range of services, but if you’re interested in outsourcing your payroll, take a look at what we offer here or give us a ring on 01594 842 188 – we’d be happy to help.