Payroll outsourcing saves a company more than just time and money, even though that may be reason enough to outsource. Read seven other reasons to outsource payroll.
Why outsource your payroll?
- 1. Get the best in payroll processing for less.
- 2. Deflect unwanted and unwarranted government interference.
- 3. Protection from check fraud artists who could/would raid your bank account.
- 4. Take advantage of Tax Credits that you may not even know exist.
- 5. Upgrade privacy for you and your employees.
- 6. Take a vacation.
- 7. Call on payroll tax experts at no charge.
- 8. Save time.
- 9. Save money.
A payroll-outsource company is constantly upgrading and improving their ability to provide the best service for you. They upgrade their software and systems on a regular basis. They of course have to keep up with the changes in the law of all 15,000 plus payroll-taxing entities as they happen. A payroll outsourcing company must be able to print out any updated form as needed or they will have to do it by hand. This is a chore they do not want to undertake with many clients to complete them for.
Occasionally everyone misses a deposit or filing deadline, forgets a form or otherwise makes a mistake that results in a penalty that YOU have to spend a great deal of time resolving and usually end up paying the penalty anyway. Outsource payroll companies greatly minimize the chance that your company will pay any penalties or interest due to missed deposits, late filings, bad calculations or other clerical and computational errors of your payroll taxes. If a payroll outsourcing company makes a mistake, THEY are responsible for the research and costs. They have much more practice in doing this kind of work and make very few mistakes; otherwise, they do not last very long in the business. A good outsource payroll company should deposit your payroll taxes and file all your payroll tax reports – on time, every time. After all, they are not processing taxes for just one company; they are filing for hundreds of companies.
When you use a payroll company to process your payroll, you reduce the number of checks that you write substantially. This not only lowers your accounting costs by reducing the size and complexity of your bank reconciliation; it can also reduce your banking fees. It reduces the checks that can fall in to the hands of check fraud specialists. Check fraud is the largest dollar value crime in the country year after year. The Nilson Report indicates that check fraud exceeds $20 billion dollars a year and the American Bankers Association recently stated that check fraud losses are growing by 25% per year. Payroll processing companies hire specialists to consult about reducing fraud. A good outsourcing company should be able to discuss numerous devices that they use to protect themselves and their clients from fraud.
Keywords: outsource payroll, payroll service, paperless payroll, Internet payroll, payroll expert