Outsourcing of payroll has become a common practice for most businesses. Nearly one in four companies has reported that they waste more than six hours per month on payroll processing. So to save time and money, outsourcing your payroll is the favored option. Some of the ways in which outsourcing payroll processing can benefit your small business are:
You will have the luxury of time
Payroll processing is a very time-consuming task, no matter how skilled you are at it. By outsourcing it to a company that specializes in the task, the staff will have more time to spend on income-generating activities.
Handling payroll processing internally, a significant amount of time will be spent on filing entries, checking and re-checking data to make sure there are no errors. All of this takes a significant amount of time from the tasks that a business owner should have been paying attention to.
You will get optimum security
Payroll processing can be a risky job as there is always the possibility of the person tampering with company funds or embezzling them or trying to get personal gains. However, a greater problem arises with regard to how safe the company servers are as all the financial details are fed there. So by choosing an online payroll processing service, you can put all these fears to rest and know that you have the experts’ on the job. Being professionals, they will have all the right technology to make sure your data is properly stored and protected.Washington Bookkeeping Services assures maximum security to ensure data security to its clients.
Enjoy quality service and professionalism
The professionals, who handle the job for you when you outsource it, are skilled at the task and know the ins and outs of it. Up to date with all the changing regulations, they will make sure that they handle all the complexities of payroll taxes and conduct the job in a manner that is efficient and capable.
Helps avoid IRS penalties
A lot of businesses end up having to pay a penalty which usually amounts to about $845 per year due to incorrect filing or late payments. This causes businesses to lose a significant portion of money in these transactions. Hence, when you outsource payroll processing, you are provided a tax guarantee by your service provider that prevents you from incurring such penalties as they keep track of the date of payment and ensure the work is done correctly. If there is an error, they take responsibility for it, thereby making sure you don’t have to pay penalties.
No need to spend on technology
When handling payroll processing themselves, companies need to invest in the proper payroll software and need to have the most recent tax tables installed. An outdated software may cause you to use wrong tax tables, thereby incurring a penalty for wrong filing. By outsourcing payroll processing, you can get rid of this hassle and leave the job to the experts.
When you outsource payroll processing to the right company, you will get to enjoy an easier way of filing taxes and a cheaper and far more productive way of managing the affairs of your company.