“Outsource” seems to be the word of the day for small businesses. The idea is that if you don’t have the staff and expertise to do it yourself (insource payroll), you should have someone else take care of it for you.
That idea has some merit, but it’s overly simplistic. Sometimes what you need isn’t to outsource your tasks, you simply need better tools and more efficient ways to take care of them. For instance, you can use high-quality software and systems to insource payroll for your company.
Don’t immediately look elsewhere for help. Here are four great reasons you should focus on processing payroll in house.
1. Save Money by Insourcing Payroll
A lot of businesses consider outsourcing their payroll because they feel it will be more cost-effective. However, the days of needing a huge payroll department to keep things in-house are long over. With services like Payroll Now by Integrity Data, your payroll system can integrate with your existing Microsoft ERP system for quick and easy use.
When you outsource, the costs and fees add up quickly. There’s usually a base fee plus per-paycheck or per-user fees. You’ll also pay extra for tax-related services or custom reports. Over time, these prices will go up (as all prices do) and you’ll have no control over it.
When you insource payroll, you can do complete payroll processing plus employee self-service and HR onboarding all in one easy-to-use system. It’s much more cost-effective than hiring someone else to do it.
2. Control Your Process and Data
Doing payroll in house allows you much more control over your data, processes, and reporting. At a time when data security is front and center in our media and legal system, you can’t afford to have someone else’s breach impact your company.
By keeping sensitive information about salaries, benefits, and work status in your own company, you can avoid problems with other people’s security. It simply removes one of the opportunities for information to “leak out” of the system.
You can also make last-minute changes as needed when you insource payroll. Need to add overtime or adjust shifts? You can do it quickly and easily and still pay everyone on-time. Processing payroll in-house gives you a lot more flexibility.
3. Catch Errors Early When You Insource Payroll
If you rely on outsourcing, you’re sending your payroll through to someone who doesn’t know the details about how your business works. As a result, they won’t recognize when something doesn’t look right.
If you are insourcing payroll, however, the people who are reviewing paychecks know exactly how your company operates. They’ll notice if anything is out of place — even before paychecks are sent. This can help you catch errors early and avoid unhappy staff.
Waiting until your employees report a problem with a paycheck creates a lot of extra work. You have to investigate the problem and find out what happened. The payroll has to be corrected and the correction has to be added to the next paycheck. You may need to correct automatic filings with the IRS. It takes a ton of time – and if you’re outsourcing, you have to do it on their schedule, not yours.
The benefit of doing payroll in-house is that you can spot these things before all of the extra work is created. If something does have to be corrected, you can do it quickly and easily without waiting on someone else’s process.
4. You Deserve to Be the Top Priority
When you outsource work, your payroll is in the hands of a company that handles a lot of other payroll operations. You’re one of the dozens of clients, and sometimes your processes, corrections, or questions have to wait while they handle other customers.
If you insource your payroll, however, you’re the top priority — as you should be! You can take care of everything as it happens, and the right payroll software makes it easy. You can handle payroll processing, ACA compliance reporting, federal and state tax filings, and more.
Don’t wait around until some third-party payroll processor gets around to your concerns. Don’t make your employees wait weeks and weeks while another company looks into payroll errors and corrects them. Instead, reap the benefits of insourcing your payroll processing.
You’ll save money, protect your data, spot and correct errors efficiently, and you’ll always be top of the list when it comes to resolving concerns. It’s nothing but a win for your company and your staff!
Contact Integrity Data today to find out more on insourcing payroll with Microsoft Dynamics GP or 365 BC.