Why does outsourcing your payroll make good business sense?

An advantage of outsourcing business service lines, such as payroll, is that whilst there is a service fee, this is generally less than your own inhouse costs for the same service delivery.

Not only can you reduce your operational expenses, but you can also generally use those valuable inhouse human resources for other areas of your business, to help drive sales and therefore grow revenue. The recruitment and training of such a specialist role would mean that those associated costs could easily outweigh the costs of the outsourcing. Don’t even get me started on the spiraling costs of wage arrear claims, remediation costs, and the reputational damage of a wage claim going public.

Payroll is highly legislated and keeping abreast of current legislation is vital in today’s climate, where employees are more than ever, informed about their rights.

If you choose to outsource payroll, the process of transferring requires very little capital investment. However, the biggest gain must be that outsourcing will allow you to focus on the core competencies of your business.

It’s the old saying, do what you do well! We do payroll well, so it makes sense that you would outsource this business-critical service to someone that knows the legislation and can help you make the correct choices to minimise both risk and cost to the business.