As you and your business grow, you are most likely going to employ more individuals to maybe assist you with management or simply the day to day operation and administration of your business.
As such, you will need to begin to operate a payroll (maybe daily, weekly or monthly) and as such, this would potential add to the administrative burden from you and distract you from doing what you do best – winning business!
Therefore, it is often far quicker and more beneficial (not to mention, cheaper) to outsource your payroll to your accountant or a payroll bureau to take that headache away.
Here we will touch upon a few points as to why outsourcing your payroll could be beneficial to you.
Time
In order to operate a payroll takes time. Not only is it the actual time to process each employee’s salaries, print the payslips and make the payments, it is all the additional time which you may not realise when you first embark on processing a payroll.
This is because you need to ensure that all deductions, allowances, bonuses and other adjustments to that particular month’s payroll is correctly entered.
Not only this, but once the payroll is processed and run, you may think that it is complete but some employees will no doubt come to you with additional queries as to how their pay had been calculated.
Cost
Following on from the above, it isn’t just time that is wasted, but if you are the one processing the payroll, then this could be costing you and your business more money.
Rather than you winning new business, you could well be sitting in the back office on a computer.
Therefore, but employing your accountant to process this, all you need to do is inform them of any changes, and they will take care of the rest.
Upcoming changes
Some accountants that are pro-active will ensure that you are made aware of certain upcoming changes to the legislation.
This could take the form of changes to the minimum wage to the ability to reclaim certain NICs paid by an employer.
Without an accountant, these changes to the rules may go unnoticed and as a result, you may fall foul of the law!