On the surface, paying for an accountant may not seem like the most cost-efficient way of managing your payroll. We’re here to tell you it could be.
Outsourcing your business’s payroll to an accounting firm can not only guarantee an expert touch but can be a great way of saving money.
Here are some ways outsourcing your payroll can cut your business costs.
Reduce your overheads
As nice as it is to have a dedicated in-house payroll specialist, it’s also costly.
When you start recruiting for a new employee, the pounds add up quickly. Even posting a sponsored job ad can dip into your business’s funds. Once you do hire someone, the costs continue to build.
By outsourcing, you won’t need to worry about training costs, an employee salary and benefits, or employer’s National Insurance contributions. Beyond that, you’ll save money on the equipment your in-house payroll specialist would need and maybe your utility bills, too.
Save on software
One of the most essential tools in a payroll specialist’s belt is their accounting software. Not every business will have the latest software packages to help them carry out their payroll processes – but an outsourced firm will.
Rather than signing up for a monthly rolling subscription with Xero or QuickBooks, hand your payroll to an outsourced accountant. They’ll already be using the latest version of the best software on the market.
What’s more, they’ll already be more than proficient with it, so you won’t have to worry about learning the ins and outs of any new programme. Another good feature of the latest payroll software is the automated distribution of payslips. As the right software can send payslips electronically, meaning you’ll save on the printing and posting process.
Carrying out your payroll process when you already have so many areas of your business to cover can be distracting. By the end of a busy work week, you may not have the focus to carefully go through every timesheet and fill out your payroll.
Outsourcing can be a surefire way to avoid mistakes that could end up being a financial drain.
If you were to get your team’s payroll wrong now and then, it could have consequences on people’s bills, putting them in an awkward position. Get it wrong consistently and you then have a bigger problem on your hands. An outsourced payroll expert will get your staff paid accurately and promptly – keeping everyone happy.
Also, submitting an incorrect payroll return to HMRC could incur a fine or penalty. So if you can mitigate the risk, why hesitate?
Refocus your priorities
Not only can outsourcing payroll save you money, but it could help you potentially maximise your profits. How? By refocusing your workload and priorities.
Rather than setting time aside to calculate your staff’s pay, you can outsource and turn your attention back to your business. The extra time can help you think of new ways to push your services or perhaps introduce a few higher-value ones.
Outsourcing is a great way to boost your productivity, as you won’t be weighed down by time-consuming admin tasks.
Let us do the work for you
Businesses of all sizes look for ways to lower their costs, especially with the economy at its most tumultuous. Outsourcing payroll to an accounting firm like ours can help you save some of your hard-earned money and lower your workload.
We run payroll for many of our clients, so we’ll be happy to do the same for you.
Get in touch to discuss our outsourced payroll services.