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Payroll News

The benefits of outsourcing payroll

21 December 2019

The popularity of outsourcing payroll is growing. From established companies to start-ups, more and more businesses are choosing to follow this route.

So why is it so popular? Well ideally, outsourcing should achieve three goals:

  • It allows employers to concentrate on their core business, giving the business owner, human resources and accounting teams
  • It gives employers access to the latest technology and expertise to deliver the payroll.
  • It often reduces costs, but should always reduce risk.

A common situation we encounter is when payroll duties are given to someone internally who has either very little or no payroll experience, and almost always payroll is added to their ‘real’ role. This model appears to work well until the single point of failure is absent or leaves the business altogether. In a world of increasing ‘business continuity’ requirements, and with issues such as GDPR looming, many employers now feel that to remove the single point of failure is the natural conclusion.

Once the decision has been made to outsource, and the provider is chosen, clients then see the other benefits. Get the provider right and the internal duties will be the collation of ‘changes’ to be provided to the bureau and then final approval of the completed payroll: if you outsource you should not be doing more than those tasks. A good bureau will be BACS approved so they can handle all the payments also.

Your chosen provider should be experts in payroll but they should also have great links with HR advisers for those issues that need a professional eye from a legal point of view. Pensions are also very important since the introduction of Workplace Pension legislation, so you want a bureau which can point you in the right direction.

JC Payroll Services is able to provide these, and a range of other services. As a long established payroll company we have specialists with many years of experience who will ensure a smooth transfer of responsibilities and expert handling of your accounts.

For more information please contact Nick Butler on +44 (0)1635 35255 or nick.butler@jcpayroll.co.uk

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