Outsourcing your payroll is more than just a contracted method of managing your company’s paychecks. From saving time to financial budgeting, the advantages of an outsourced payroll solution can help small businesses get on the right track for better management. Even if you think you can handle your payroll taxes and administration, it’s likely that a payroll company or PEO (professional employer organization) can manage your payroll services more efficiently than anyone inside your company. This alone is a good reason why outsourcing your payroll should be a necessary service for your small business.
For many small businesses, time is used more efficiently by outsourcing a payroll company rather than using the internal services of a human resources department. Payroll processing requires dedicated time, planning and execution, as it involves so many different necessities to properly function. Some of the time management advantages of an outsourced payroll system can be found in:
– Paycheck management and distribution
– Workers’ compensation management
– Employee tax calculations
Outsource Payroll to Manage Time More Efficiently
With time comes money, and outsourcing to a payroll company can save your small business both. When businesses fail to properly analyze how much time will be spent on payroll processing, money is often wasted. The smaller the business, the more involved various departments become in helping manage the payroll system. An outsourced payroll service would alleviate all of the tension and stress that comes with managing the payroll services and employee benefits, leaving those who previously tended to payroll services available to focus on core business growth. If you’re finding that the payroll system in your office is causing more headaches than necessary, it may be time to outsource your payroll.
Outsource Payroll to Avoid Tax Complications and Penalties
Time and money management are certainly some top advantages for small businesses that wish to outsource their payroll administration, but the ability to avoid IRS and state tax issues should be recognized, as well. Because payroll companies have dedicated experience with payroll administration and employee tax management, you can cut costs by avoiding the penalties set forth by these tax authorities. Calculating payroll taxes properly is an important function not to be taken lightly. Nearly 33% of small businesses receive a tax penalty for over $800 each year. Outsourcing payroll transfers the risks of these penalties over to the payroll provider. You can also stay compliant with your employee benefits and workers’ compensation claims by hiring an outsourced payroll service to monitor these workplace necessities for you.
SourceOne Partners is comprised of an experienced team of payroll professionals that can help you find a payroll company that fits your specific needs. With offices in South Florida and New Jersey, we can help you find a solution to better manage your payroll services, employee benefits and company taxes so that you can save time, money and avoid the penalties of non-compliance. Please call 561-674-0748 to speak with a payroll expert or click here to contact us online.