No matter how meticulous or experienced a professional you are, you will soon find that handling payroll can be a headache. In fact, paying huge penalties for omitting a tax filing can leave you feeling frustrated. So, what is the alternative to painful in-house payroll processing? Outsourcing payroll services to an expert is an attractive option that you can consider. Outsourcing is a less expensive and simpler means of paying your employees and filing your taxes on time.
5 reasons to outsource payroll services
- Contrary to popular belief, in-house payroll processing is not cheap, especially when you think about the time and money spent in managing the process. In fact, outsourcing payroll is much more cost-effective than doing it in-house.
- Using an expert payroll service can ease your mind and help you steer clear from errors that can have a gross impact on your bottom line.
- You need not have any worries about the security, as payroll service providers in India follow stringent security measures at various levels, be it site security, data security or network security
- Save on payroll training cost and the cost required to buy expensive accounting programs and office infrastructure.
- Relive yourself from the burden of having to stay up-to-date with payroll changes that occur during each pay period.
A payroll service provider can offer you with expert services
An expert payroll service provider can calculate your payroll and the tax obligations for each of your employees. Apart from that, they can also deliver checks and suffice you with management reports. You can choose how your pay checks should be paid, whether on a monthly, semi-monthly or yearly basis.
Payroll service providers in India now offer 401(k) and Section 125 mutual fund plans, which enable employees to assign automatic deductions from their pay checks. Some service providers also offer integrated HR software systems that have the ability to track employee benefit-related information, in addition to regular payroll data.
How to find the right payroll service provider?
When looking for a payroll service provider, you must remember to choose one with good communication skills, as you will have to communicate frequently with the service provider. Look for a stable service provider who has several payroll customers and be sure to review the first pay checks that are issued.
Also remember to ask for references from the provider’s current clients, so that you can get a better idea of the provider’s services. Here are some questions that you can ask to a prospective payroll service provider:
- What does your basic payroll service involve?
- If there is a mistake, how quickly can you re-run a payroll?
- Do you cover the penalties and/or interest charges for tax filing services?
- Do you offer filing assistance for local taxes?
- What is your cost to file taxes for multiple states?
- What is the cost for your payroll service for one year, including year-end W-2 forms?
- What rate increase should I expect after one year of working with you?
- If there are payroll data mistakes, how long will it take to rectify the errors and what will it cost?
Questions to ask the service provider’s references
- How responsive is the service provider to your questions?
- Have you faced any problems with accuracy in your payroll?
- Have you used any other payroll service? If so, why did you switch to another payroll service provider?
By asking the above questions, you will be able to find the right payroll service provider for your business. Free up your time for core business activities by outsourcing payroll services to India.
Do you have more questions on how outsourcing works or how to start outsourcing to India? Leave a comment in the box below and we will be happy to help you. We, at Outsource2india love to hear from you!
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Top 10 Reasons Why Outsourcing Payroll Is Profitable
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It’s very useful to all and us , I am very much impressed with your thoughts. I got the best information from this site of the blog, That article was amazing. Thanks for sharing this post.
Payroll is Indeed an important part for any organization. Very rightly said that with organizational growth, payroll process becomes headache. Nice article covered all major concerns to Outsource Payroll process to third party.
My boss has been trying to juggle payroll all by himself and honestly, it’s led to a lot of late paychecks and mistakes in the booking system. He’s always busy doing other things, so I think you’re right that he should outsource, both as a way to ensure that he has more time to delegate to other matters and to ensure that it’s done correctly and in a timely manner. I’ll be sure to pass on your questions for him to ask providers in the case that he decides to outsource.
Thanks for explaining why it could be good to outsource payroll services. It’s nice to know that the provider could help calculate tax obligations for each of your employees. This seems like it could be very useful especially if the obligations differ from each individual employee.
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