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The Benefits of Outsourcing Your Payroll

The Benefits of Outsourcing Your Payroll

Since the introduction of RTI, Auto Enrolment, The Payrolling of Benefits and Average Holiday Pay the regulation of payroll legislation is becoming more and more complicated as the world modernises, and it is increasingly difficult for small to medium-sized employers to keep up with navigate and get right.

Making payroll mistakes can be very costly for employers to contend with in terms of lost revenue and can create a negative reputation across the workforce that is difficult to change.

Gone are the days of that director’s view that payroll is `Just a push of a button`. Nowadays, Payroll Administrators are required to train and obtain an official CIPP qualification with the Chartered Institute of Payroll Professionals to further develop their payroll knowledge and skills. This qualification also ensures that payroll administrators are well-versed in the laws and legislations that continue to govern the payroll process.

Critchleys LLP is an experienced and qualified payroll bureau with a personal touch situated in central Oxford that has been providing payroll services to clients for over 20 years.

The payroll services department strives to put employers at ease and guide them through this difficult process, removing the payroll burden entirely.

If you are a small to medium-sized employer and you are contemplating outsourcing your payroll function, please see the below summary of advantages versus disadvantages of keeping your payroll in-house to help aid your decision:

Advantages of processing payroll in-house:

  • Control – Payroll remains in-house, and employers have greater oversight of the process.
  • Software – When payroll is processed in-house, the employer is able to choose the software provider.
  • Flexibility – There is more flexibility to make last-minute changes to payroll in an in-house environment.
  • Payroll Reporting – With an in-house payroll environment, as an employer, you have more control over payroll reporting.

Advantages of outsourcing the payroll function:

  • Cost – The cost to cover an administrators salary and annual training courses in house greatly outmatches the lower cost to outsource.
  • Cover – There is the added risk of having no payroll cover should the in-house administrator become ill or be away on annual leave during a period of emergency.
  • Knowledge – The knowledge of payroll administrators in-house is usually not CIPP compliant and is mainly processed by an accountant or finance employee.
  • IT – To efficiently run payroll software, employers need good IT infrastructure which is better accommodated by an outsourced payroll provider.
  • Training – All outsourced Payroll Administrators are fully CIPP qualified which isn’t at the expense of you as the employer. This also includes annual on-going training.
  • Reassurance – Outsourcing your payroll function gives you complete reassurance as an employer that your payroll is being processed to HMRC legislation.

If this is something that you or an employer are considering then please do not hesitate to contact the Payroll Manager directly by emailing below or by calling 01865 261100.

Alternatively, please see below Critchleys payroll services brochure which covers the payroll services main duties.

Find out more about Marc Taylor

Marc Taylor

Marc Taylor

Marc is a Payroll Services Director