Do you find it hard to compute the payroll for a large workforce?
Do you always get tax penalties because of errors in calculations and payments?
Do you always receive complaints regarding incorrect salary computations?
If yes, then it must be time to let a contractor payroll management firm handle your payroll needs.
Payroll is one of the essential business processes in an organisation. Unfortunately, it is also the most complex and complicated process.
Why? First, employees differ in salary grades. Some employees earn on an hourly basis, while some earn monthly.
Second, allowable deductions and benefits may differ per employee. Compensation deductions are subject to salary ranges or percentages, which makes computation burdensome.
And lastly, compensation income may be subject to tax withholding. This may sound easy, but it is complicated due to tax laws and regulations implemented by the internal revenue arm of the government.
In summary, payroll management is difficult. If you want to keep admin employees worry-free, let an expert of contractor payroll management do the hard work for you.
Outsourcing payroll management is beneficial because ….
It increases productivity
Instead of spending hours in payroll processing, businesses can utilise precious labour hours in improving system processes to increase transaction turnover.
The owner, the human resources department and the accountants can focus on relevant activities that add value to the company’s products and services.
For example, the human resources department can focus on employee evaluations to enhance work quality and to maintain the learning curve.
Aside from evaluations, they can also create activities that increase employee morale and loyalty.
On the other hand, the accounting personnel can focus on speeding up transaction processing. A fast transaction processing system can help company departments do their tasks without delay.
It eliminates tax fines and violations
The general principle of taxation dictates that tax is the lifeblood of the state. Without taxes, a country cannot operate properly. That’s why tax authorities are strict with late tax filing and payments, and erroneous tax information.
And for every delay or error, tax fines and surcharges can blow up in proportion. With that, it only shows why outsourcing payroll management can help every company save a penny for every accurate tax payment.
If you’re in doubt, here are two good reasons for you to think about:
- Access to payroll and tax experts. Outsourcing payroll means hiring the experts in the field. Just imagine this. The payroll team will be composed of certified practising accountants, certified payroll specialists, and even tax experts.
- Access to management advisory. Aside from expertise in the field, outsourced payroll teams can recommend improvements in the data gathering process for hours worked, number of absences, number of leaves approved etc.
It avoids employee fraud
Most embezzlements and fraud occur in the payroll department. The two most common fraudulent acts are payments to terminated and to fictitious employees.
An outsourced payroll process is a good control to avoid these kinds of fraud.
Hiring a contractor payroll management firm can help your business save precious time and resources. In fact, Achieve Corp can help you solve payroll and tax problems. Let them do the hard tasks for you now. Visit them at https://achievecorp.com.au/.