For an expanding organisation in Australia or New Zealand, growing payroll needs can cause headaches. Are you applying the right tax rate? Is your software able to scale? Are you compliant with government regulations? One misstep, and soon you’ll be buried in some serious paperwork or worse—you might miss a pay period. Fortunately, there are financial experts who can help you handle payroll. From paying employees to setting up new employee accounts and remaining government compliant, a trusted payroll partner can shoulder the burden of your payroll process, so you don’t have to. The benefits of outsourcing payroll can’t be understated.
Here are 10 reasons to call in reinforcements for your payroll systems.
Benefits of outsourcing payroll
When was the last time you assessed how long it takes to process your monthly payroll? Even when the system is streamlined, your staff has to keep on top of paid time off, sick days, paid bonuses, and tax changes. An outsourced team of managed payroll experts frees up your back office to worry about other things.
Payroll taxes and thresholds vary based on state or territory, as do the required deductions in New Zealand. For instance, do you know the appropriate non-notified tax rate in New Zealand for an employee that does not provide a completed IR330? Spoiler: It’s 45%, but you could run into compliance issues if you miscalculate it. You’ll save money in the long run when you remain in compliance with tax regulations.
You won’t only save money on avoided compliance penalties when you outsource your payroll needs. The benefits of outsourcing payroll also include saving on overhead costs. When you don’t have to shoulder the on-costs of a full-time payroll expert in-house, you can use that cash for product development and more.
Your payroll system includes the sensitive data of your staff. Should the system ever be breached, identifying information could be stolen. There is frankly tonnes of risk in handling payroll as a side project as your business grows. A trusted payroll company will have the digital infrastructure needed to keep your information safe and sound.
Team of experts
The skills required to be a payroll officer vary. It helps for a person to have a degree in finance, but at the very least, they must be comfortable with both maths and communication. A payroll officer not only processes all payroll transactions but also updates payroll systems, calculates employee income, handles Jobseeker payments, generates financial reporting, clears discrepancies, and more. Having a whole team on your side means you don’t have to search far and wide for the perfect employee.
No risk of losing staff
Speaking of finding an ace employee—what happens if you find one, train them, and then they leave? You’re back at square one. Outsourcing with Visory means you always have payroll support without fear of losing your payroll pro unexpectedly.
Save on software and infrastructure cost
Accounting and payroll software can be expensive. Plus, your software can’t do everything for you. You’ll still need to ensure you’re using the proper tax tables and the software is applying the most modern government compliance standards. One of the benefits of outsourcing payroll is that your new team will always invest in the most up-to-date payroll software so you don’t have to.
Outsourcing payroll also allows you to eliminate heaps of paperwork. Not only is this more convenient and efficient, but it can help reduce the chances of fraud. Outsourcing your payroll means you aren’t responsible for the paper trail of payroll; someone else saves all the documents for you.
Right now, you may have HR handling payroll along with hiring, firing, and planning business events. When you take payroll off their plate, you allow HR to specialise in what they do best — managing your employees’ needs and interviewing candidates. Visory will act as an extension of your HR department, fielding the questions your HR team has historically been inundated with.
Peace of mind
Outsourcing payroll adds up to one conclusion: More peace of mind. You have one less thing to worry about and never have to fear leaving your staff in the lurch because you failed to process their pay on time. You can focus on growing your business, not running payroll.
Visory is here to meet your payroll outsourcing needs. Between the added security and compliance consistency, you’ll be glad you paired with payroll pros. Sign up today to learn what we can do for your organisation.