What can you expect from a payroll provider company before making a decision?

 04 Oct 2018

Every business is required to perform payroll, whether it’s a large corporation or a newly started one person business. Unfortunately, this required process comes entailed with various rules and regulations which can overwhelm most businesses. Therefore, professional services have been created to support your business and ensure you meet your payroll obligations. This also means seeking a company to take care of something you’re not familiar to perform, so how can you make sure it’s the right decision and they will meet your requirements?

You might be feeling that your payroll is a complex process which has huge importance to your employees because they need to be paid correctly and on-time. It’s fair to say that you might be needing support to adhere to all the tax laws and the processes required by HMRC, whether its deductions or end of year reports. It’s stressful enough to meet these requirements without realising if you do meet the standards, you could be met with a fine. Therefore, using a profession payroll provider is more common and beneficial than you’d initially expect, but what can you expect from a payroll provider?

Payroll providers

The first thing a business owner should look for in a payroll service provider is that they have the ability to adapt to the company's dynamics regardless of size. If the payroll provider has a broad and extensive experience in payroll it's generally a good sign. It all depends on how much of the payroll process you want to outsource to gain a bit more time and resource back so you can focus on your business. 

If you find yourself overwhelmed with payroll, you can have a payroll provider take care of the entire process and results in you not having to deal with payroll issues more than what's strictly necessary. If you only need help with certain stages of the process you can also hire the service provider to take partial care of your payroll. 

Larger companies often go with this final option, because they have their own payroll division, but they just need some of the workload taken off their shoulders. Small businesses can definitely put the whole payroll burden onto a provider. You just need to understand how outsourcing to a payroll provider can help your business.

A key thing to remember is that you could be entering business with the payroll company, so how is your relationship with them? Do they treat you with empathy, understanding and guidance or do they just regard you as another account to deal with.

Benefits of having a payroll service provider: 

Firstly, you will be wanting to achieve the confidence that all your responsibilities have been undertaken and fulfilled without you having to constantly check.  As professional providers, they will have plenty of knowledge and experience to share to ensure your understanding of what’s needed to be done is completed. It’s difficult enough to start a business without having to learn new regulations and rules to abide too.

You’ll also feel confident that the people managing your payroll are consistently up to date with all the constantly changing regulations, meaning your payroll won’t be behind the latest requirements.

The payroll service provider will generally assign an account manager to support you and become a guiding hand, whereby if they require some information, they will prompt and request the details instead of waiting for you to take action autonomously. The knowledge they can share will be valuable as a business owner (especially if it’s new) to provide some clarity over the process, rather than just taking care of that aspect of your business, without informing you about the processes.

You will not have to invest in any new technology or software to fulfill your requirements. Your professional payroll provider will be able to utilise the latest technology to support the process but that cost will never be inflicted onto you. This could mean you automatically benefit from paperless or online services for your employees which previously wasn’t achievable.

If you’ve chosen correctly, then your provider will be able to conduct your companies payroll efficiently, accurately and consistently on time. They are designed to fulfill your obligations so you don’t have to worry about this large and important process.

Are you capable of completing your payroll or should you use a professional?

Being classified as capable doesn’t just mean you’re able to perform the processes, it’s also ensuring that you can adhere to the process without your business suffering as a consequence. This might be that you are neglecting your expansion and development plans or that you need to pay out to employ a qualified individual.

If you feel you’re not capable of completing your payroll, it’s becoming common to use professional providers. These payroll providers also commonly provide pricing estimations upfront which as based on the number of employees. The final decision lies with you as a business owner and it’s important to weigh up whether outsourcing is best for you.