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  • Writer's pictureNicola Fallon

Four reasons to outsource your payroll

Updated: Aug 1, 2023



Meeting your obligations as an employer to your staff and Her Majesty’s Revenue and Customs (HMRC) can be confusing and can take time away from running your business. The pressure on business owners is not just limited to making sure their employees are paid on time and accurately; since the introduction of Real Time Information (RTI) and Automatic Enrolment Workplace Pensions, there are more demands for accurate and timely information from the regulatory bodies such as HMRC and the Pensions Regulator.

If you want to maintain payroll compliance while staying abreast of any legislative changes and reporting deadlines, then we've put together four benefits of outsourcing your payroll to a professional payroll provider:

1. One less thing to worry about

As you concentrate on hiring and retaining the best employees to help make your business a success, by outsourcing your payroll, you can be assured:

· Employees will be paid on time · Tax and NICS payments are calculated correctly · Statutory minimum employee and employer pension contributions are made for those that have opted in · Details specific to employees such as bonuses, maternity / paternity pay, and overtime are all accurately calculated.

2. Stay abreast of new payroll legislation

Each year the Government assesses the National Living Wage and the National Minimum Wage rates and determines if they are to be increased on 1st April. Your payroll provider will keep you informed of any changes and whether they affect you, whilst also ensuring you adhere to the minimum rate.

Specialist payroll providers have the expertise and awareness to ensure small businesses like yours are always well prepared to comply with new payroll legislation. This not only helps your business to move forward, it also helps you to avoid costly penalties.

3. Get payroll software with full secure online access to payroll data

Specialist payroll providers should give you access to online payroll portals that can give employers and employees 24/7 access to their data and any reports. By going paperless, your staff members can receive digital payslips, as well as other payroll documentation such as P60s and P45s via a secure portal.

By using HMRC approved payroll software such as Brightpay Connect, employers can also easily manage all leave for their staff including annual leave, sick leave, maternity leave, and paternity leave. The employee calendar allows employers to view the number of annual leave days remaining for each employee and how frequently an employee is on sick leave. Once an employee requests annual leave, employers can authorise or reject the request with changes synchronising back to the payroll software.

Brightpay Connect also comes with an employer dashboard, which provides an overview of employer details, any outstanding payments due to HMRC, upcoming calendar events, as well as a list of notifications such as outstanding employee requests made via the portal.

Employers can upload all sensitive HR documentation for staff in one secure online portal. This includes employee contracts and company handbooks, as well as disciplinary documents, company newsletters and training material.

4. No single point of failure

Companies who manage their payroll in-house usually only have one payroll specialist who they rely upon to run the payroll from start to finish. This can be risky if that employee falls ill or even when they go on holiday, who else could you rely upon to run the payroll for you?

Outsourcing your payroll to a payroll provider will come with a friendly team of professionals who can all run the payroll for you and answer any questions you may have about your payroll, so you can be safe in the knowledge that everything is in hand.

At Virtual Accounts and Taxes Ltd we can oversee your payroll processes, calculations, and deadlines and take care of everything payroll related for your business. We only use Brightpay and Brightpay Connect software, which is HMRC and RTI compliant and helps businesses fulfil their payroll duties without unnecessary limitations or restrictions.

For a free initial consultation on our payroll bureau service call Nicola Fallon today on 0161 250 2219 or click here to book an appointment.

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