Why Should You Outsource Your Payroll In The UK?

If you run a big business – one with more than 250 employees – carrying out your payroll function is going to take up quite a bit of time. However, a business of that sort of size and larger can afford to hire a payroll manager, and in some instances run a payroll department. However, there are only a few thousand businesses in the UK of this sort of size. There are over 1.3 million with less than 50 employees, and so it is not affordable to hire a payroll manager because there is not enough work to justify it. 

If a business of that sort of size is going to do the work in-house, the costs can mount up though. You have the costs of software, training staff to do the work, printers, printing and distributing payslips, creating tax returns, and the hours that staff are engaged on the work, and you might be surprised at just how much that all adds up to. It is usually a lot more cost-effective to use payroll bureau services in the UK than do it in-house.

The Possibility Of Errors

There is also the element of errors creeping in. A payroll service such as the one we provide at PayCheck is far less likely to make an error than staff who are not experts. This can lead to fines from HMRC. Our team also keeps bang up to date with every last little change in the legislation, and there can be quite a number of these. We know all the ins and outs of payroll-related tax laws which in-house staff may easily miss.

Another problem when doing payroll in-house is that there is always the problem of a staff member going sick at the worst possible time. The payroll bureau services in the UK that we provide are completely unaffected by staff sickness and holidays. In addition, if your staff member who is doing the payroll decides to leave, you are faced with starting from scratch and training someone else up to do the job.

Yet another benefit of outsourcing your payroll is the fact that you will free up staff who have the job of overseeing the payroll so that they can spend their time on something that is productive and contributes to your business instead of on something that earns you nothing. In that respect, it can be compared to cleaning the office. You don’t have your staff members doing that: you employ a cleaner instead.

So, there are many benefits to outsourcing your payroll when compared with the DIY route.