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There are many benefits to Outsourcing your Payroll

More and more companies today are choosing to outsource their payroll, and with good reason. It has grown in popularity over the last ten years, and in particular since 2013 when HMRC introduced RTI (Real Time Information) to the PAYE system. This meant that employers now have to submit tax deductions and reports every time an employee is paid instead of just at the end of the tax year in April. The result was that this complicated the payroll process significantly and also led to a proliferation of payroll outsourcing companies in the market.

Payroll outsourcing companies such as ourselves at PayCheck can take over partial or total responsibilities for managing your payroll. If you outsource your employees’ payroll to us we can take over all responsibility for calculating any taxes, additional payments such as statutory or maternity pay, and pay HMRC directly on your behalf. We can also free you up from all the record keeping and printing of payslips, and handle everything that is connected with your pension scheme.

The Auto Enrol Pension scheme came about as a result of the Pensions Act 2008 and requires all employers to provide a pension scheme for their employees who are eligible. In addition to that, non-eligible employees and entitled employees who do not have to be automatically enrolled must be enrolled if they ask to be included. Just working your way through the Auto Enrol scheme can be a minefield, as there are situations where, for example, an auto enrolled employee can opt out  if he or she chooses to do so but cannot opt out until he or she has been enrolled. Then if an employee opts out, every three years you have to re-enrol them and submit a Re-Declaration to the Pensions Regulator. Then, of course, the employee can choose to opt out again after having been re-enrolled. And so it goes on! At PayCheck we can deal with all this for you automatically.

There are several advantages if you choose to outsource your employees’ payroll to us. It will cut your costs down, and this could be a considerable amount if you would otherwise have to employ an in-house payroll manager. It will save you a lot of time and paperwork, and in particular you will get accuracy, which is vital when you are dealing with HMRC. Certainly, as the employer you are still responsible for the accuracy, whether you are outsourcing or not, but at PayCheck we have been providing payroll services for our clients since 1996, so we have a lot of experience.

You also do not have to buy and maintain payroll software or pay for courses to train an employee to handle your payroll in-house. In addition, there is another issue which many employers do not consider when thinking about payroll and that is that is if you have an in-house payroll manager, what do you do if they are sick three days before pay day? What do you do when they go on holiday?

Furthermore, at PayCheck we are a BACS approved bureau which means that we can pay your employees direct into their bank accounts. This saves the cost of cheque stationery and postage costs and means that there will only be a single debit to your account which eliminates the need to track individual payments. In addition, your employees will have the money in their account exactly on the due date without any chance of cheques getting delayed in the post, and also having to go to the bank to pay them in. We take care of everything for you.

 

This article was written by
The Pay Check Team
info@paycheck.co.uk
+44 (0) 20 7866 4600