5 reasons to outsource your payroll

At Farnell Clarke, we understand that payroll and the associated employer duties can be a headache for many business owners and take up time and resources better spent on the day-to-day running of their business.

There are many benefits to outsourcing your payroll, and here’s why…

1. Payroll is becoming more and more complex – RTI (real time information), auto enrolment pension and holiday calculations to name a few. Using an outsourcing payroll team ensures that rules and regulations are being followed correctly and in a timely manner, preventing penalties and ensuring that calculations are correct. We have seen several incidents of errors in auto enrolment contribution calcs…… even by other payroll providers .
2. Payrolling Benefits in Kind (BIK) – Many employers are seeing the rewards of declaring their benefits in the monthly payroll, rather than creating and filing P11d’s at the end of the tax year. Outsourcing your payroll services can ensure that the correct calculations and deductions are being made and the year end P11db is submitted in a timely manner.
3. Correct entry of payroll information. Mistakes are easily made and can be costly to your business, both in costs and relations with your employees (your main asset!). An outsourced team can quality check the information received is correct and has the resources for payroll to be checked by someone who understands the system.
4. Reliability – with a payroll service, output, speed and quality won’t vary in accordance with holidays and sickness. There is always a risk that you may lose one of the key members of staff that deal with your payroll and all their knowledge walks away with them. If this happens you could find it extremely difficult to replace them, causing a logistical nightmare come payday. You also won’t have to spend time training new staff or helping them to understand your business’s payroll system.
5. Payroll entry and payments take time to do, something that is a precious commodity to a business. Time runs away quickly, and you may be busy with running your business when you need to stop and run payroll and arrange payments to both your employees, HMRC and Pension companies. These payments can be easily missed. Using outsourced payroll gives you the benefit of continuing to work knowing that these have been arranged on your behalf.

What we can do for you…….
Our expert payroll team can run your payroll, making the necessary additions and deductions and upload them to a secure portal for authorisation.

We can upload your payments to one of our payment partners (Telleroo/Modulr) for all required payments – i.e Employees’ salaries, HMRC PAYE, pension, directly from our software, reducing risk of errors. You as the employer would simply transfer one payment to cover all costs and authorise all payments in one easy step.

We can help keep you on top of your pension legal requirements. Ensuring all correspondence is sent, calculations made and uploaded to the pension scheme and declaration of your compliance sent to The Pensions Regulator.

As a trusted payroll provider to many clients, we are fully GDPR compliant and can guarantee the safety and security of your data.

Want to learn more about outsourcing your payroll with us? Get in touch with us today.