Posts tagged payroll outsourcing
In our last post, we had seen what a payroll is and why organizations go for the same. We had covered all basics related to the same. In this post today, we will be knowing the basics of an outsourced payroll service. An outsourced payroll service is one of the types of payroll system used by businesses to handle payroll responsibilities.
To say it simply, A payroll service is an outside company that specializes in every aspect of the payroll process. Instead of managing it all oneself with a pen, ledger sheet and calculator, an outsourced payroll service keeps you free from the same. This kind of payroll service offer more comprehensive help to an organization by collecting wages and hour information from the employer and use that information to calculate gross wages, subtract all pertinent withholdings and deductions, print checks, make direct deposits and prepare all employment tax filings. People especially those into hr and related activities can find it as a relief as such payroll services can exempt them from other responsibilities like administrating a company’s retirement accounts and benefits programs. Also, in some of these payroll services there is a facility of free phone help line which is helpful in case if you had any query related to human resources or payroll.
In earlier times, it was common with the employers to call up the payroll service provider and update it with information about wages and hours for the upcoming paychecks but it is not the same case anymore. Present payroll services are converting into web based payroll system which can be updated 24/7. An employer simply has to log in with its credentials, fill in the hours for the pay period and the data is updated in real time. All records are kept well safe and maintained and is available anytime online through reports, payment histories and other features.
Now, payroll services are not free. One has to pay for the same. The cost of payroll services depends on several factors, namely the number of employees, the number of pay periods every month, and the level of comprehensive service of the services required. The costing may vary from $50 each pay period, or $100 a month, for basic payroll services. The cost can also raise to $200 in case if you are opting for upgraded services like online reporting, direct deposit and phone help. Per employee and Per check is taken into consideration before deciding the final cost of any payroll service.
To sum up, Payroll services can really benefit business owners by keeping them free from payroll responsibilities and making them concentrate more on other aspects of running their business. Though very useful, payroll services can still be very expensive, especially with the addition of more and more employees in the company.
And so for the very same reason, we have an alternative for the same – Payroll Software. We will be seeing more on the same in our next post. Let us know if you have any query related to payroll services. You can mail it here – firstname.lastname@example.org
Of all the organizational activities being carried out in an organization, managing payroll looks to be a highly complicated thing. To put it simply, Payroll is a process by which an employee is paid by an employer for the work he/she carries out in a company or an organization. Payroll is not required if you have your own business without any employee. But once you have your own employees as your business grows, you have to make sure that your employees are paid on time and the correct amount. Delay in the same process may lower down the morale of an employee and chances of them becoming less productive increases. Also even if everything happens on time but with some errors then it may not be long before you see your employees quit your organization…!
Now, a payroll is generally considered to be any an easy process from the employees point of view. But in reality it isn’t. Lot many things are involved in the same, making it look more and more complex. Other than being a look easy process to deliver pay check, an efficient payroll involves certain very important activities like error free deduction of proper taxes from each paycheck and making it sure that those funds are paid to the right government agency at the right time. Complicated tax forms must be filled out and filed on an annually, quarterly, sometimes even weekly basis. Missed deadlines and improper tax filings can result in steep fines and even jail time. These are some of the reasons why having an efficient payroll is a big concern for any organization.
Ofcourse, you can manage it all but when you are small business owner, you can find yourself stuck with lot many tasks while handling a payroll and this is more or less likely to divert your attention from other important activities inside organizations like product development, customer service and other important business tasks. Surely, you don’t want this to happen at any cost. And therefore it is always a better to look for the alternatives which in this case would be either an outsourced payroll service or computerized payroll software.
We will be seeing more on outsourced payroll service and payroll software in the coming posts. Till then, if you have any query on the same, please let us know by mailing here – email@example.com