When it comes to running a business, maintaining a positive morale in the workplace is important for employee satisfaction and retention – two key performance indicators for business success. One of the ways to build trust among employees and keep them motivated to work is completing payroll in a consistent and timely manner, which can be done with a dedicated team of payroll specialists.
Not all companies have the capacity and resources to build an in-house payroll team. Most of the time, these crucial yet time-consuming tasks are delegated to the human resource (HR) department. Although this set-up is viable, it also has its own downsides like taking away the focus of HR personnel from their core tasks.
Businesses regardless of their size and scale can explore outsourcing to ensure that their payroll processes are properly managed. According to a news article in the Journal of Accountancy, 47 percent of U.S. and Canadian companies choose to outsource their payroll team and it’s all for good reasons. More than just cost-savings, it can give you:
More time to focus on business growth
As aforementioned, processing payroll is a task that can take up a lot of your personnel’s time because it involves a handful of steps and most of these require a high level of attention to detail. From calculating payroll amounts and generating reports to remitting taxes and returns and distributing paychecks, it can quickly drain your human resources.
By outsourcing payroll specialists, you are taking these tasks off your staff’s already full plate so they can focus more on core business activities that can drive performance and growth, and put your business forward.
Compliance to regulations and standards
Partnering with the right outsourcing provider for your payroll team will help you stay compliant to everchanging tax regulations and avoid paying costly penalties due to late or incorrect filings and payments. According to the IRS, 40 percent of small businesses incur an average of $845 each year in penalties because of these.
Your outsourced payroll specialists have the responsibility to make sure that your payments and filings are accomplished in time and error-free. They also stay up-to-date with the latest regulation changes that could affect payroll.
Access to expert talent
One great advantage of outsourcing a payroll team is working with highly trained professionals who have the skills and industry experience to administer all aspects of your payroll needs, and ensuring compliance and high quality service. They bring with them expert knowledge about tax regulations, withholding rates, government forms, comprehensive payroll reporting and other important concepts in payroll processing that business owners and other staff may not readily know of.
Now that you are aware of the many benefits you can enjoy if you outsource your payroll team, it’s also important to note some common concerns about it such as security and privacy issues, and lack of service quality or timely reporting. To prevent these problems, choose the right outsourcing partner that is ISO 27001 and 9001 certified and GDPR, and DPA2012-compliant, which will ensure data protection and omit security breaches. Moreover, partner with a trusted and reputed outsourcing provider with a >60 Net Promoter Score.
Net Promoter Score (NPS) helps businesses gauge the quality of the customer service offered by outsourcing companies. Organizations can use NPS to assess which BPO is best to partner with because this score shows loyalty trends and growth revenue outputs. In a way, NPS represents the primary way customers survey their experience because it means that their clients are happy, and this results in customer loyalty and retention, making a high NPS a critical trait any outsourcing company should have. When used correctly, NPS (of at least 60%) can tell you how well the BPO is performing, how often they resolve issues, and if their clients are satisfied with their experience.
Team up with a solutions partner that makes your process, their process. The right outsourcing partner ensure:
- Operational excellence
- Having a great back office team
- Industry experience
- Operational cost savings of up to 70%
- Information and data security
- >60 Net Promoter Score: Sense of security and peace of mind
Partnership with Infinit-O
Infinit-O’s mission is to create endless opportunities for your company to realize its full potential.
Infinit-O Key Benefits:
We can build you a great, high-performing Payroll and other back office teams:
- HR Compensation & Benefit Specialist
- HR Data Management Specialist
- HR Employee Engagement Specialist
- Employee Relations Officer
- Recruitment Specialist
- Payroll Specialist
- Data Entry Specialist
Let’s work together to build a great HR Team.
Start small. Exceed expectations. Think infinitely. Think Infinit-O.