For many businesses, payroll services offer an attractive and valuable alternative to in-house payroll processing. Payroll service companies perform an important function assisting employers comply with laws.
Without the proper knowledge of payroll procedure and access to a payroll program, it’s easy to make mistakes. Usually, late payments are cause for monetary penalties. Local tax collection agencies need to be paid on time, and in the right way.
Services provided by outsourced payroll companies
A payroll company’s basic services include:
- Calculating payroll and tax obligations for each employee.
- Provide employee access to address and payment information changes, online pay statements and tax forms.
- Delivering checks, can be issued on a weekly, bi-weekly, monthly, semi-monthly or yearly payroll basis.
- Provide online access to standard reports, including historical data.
As an owner or manager of a small or medium business you have to focus on many tasks to ensure your business is successful. As your business grows, you need your payroll to be flexible enough to meet changes in your business requirements.
Choose the right provider
You will need to communicate regularly with your payroll provider, a payroll service should offer:
- A high level of customer service.
- Experience in the sector.
- Security to ensure your company will not suffer from any potential financial mishandling.
Benefits of Outsourcing Payroll
Here are some of the most important reasons why all kind of businesses outsource their payroll.
Avoid technology problems: A constant question for small business owners is whether they have the latest version of their payroll software and the most recent tax tables installed on their computer. Using the wrong tax tables can result in penalties. Outsourcing payroll keeps payroll running correctly.
Time savings: Many small business owners and their staff find it better to use their time for focus on activities related to the core mission and leave finances and payroll to someone else.
Accuracy and compliance: Payroll mistakes are common, and many small operations find it nearly impossible to stay on top of the numerous and complicated tax code changes that can lead to these errors. Outsourced payroll experts are trained specifically in this area. When mistakes occur, the business owner may be able to seek financial or legal restitution, depending on the specifics of the service contract.
Reduce costs: The direct costs of processing payroll can be greatly reduced by working with a payroll provider.
Lower long-term costs for some businesses: The choice between in-house payroll and outsourced solutions is a question of what is most efficient and cost-effective for the size of the operation.
Finally, using a payroll service can ease your mind, while on in-house payroll two out of every six employers has been charged for a payroll mistake, with total penalties reaching into a lot of money on costs.
Payroll in Chile, is an outsourcing solution that will help you grow and adapt your business the smart way. Whatever the size of your company, they can provide a flexible outsourcing solution, allowing you to focus on your business.