Payroll is a necessary task for businesses, as it ensures that employees are paid accurately and on time. It involves calculating hours worked, deductions, taxes, and then issuing payments to employees. This process has to be carried out carefully in order to avoid mistakes that can be costly for businesses. 


Payroll also needs to be compliant with relevant laws and regulations. This means that businesses need to keep up to date with changes in payroll legislation, which can be a challenge. Despite the challenges, payroll is a vital part of running a business, and thankfully there are outsourced providers available to help companies with this task.


Why Outsource Payroll Processing? 


More and more businesses are choosing to outsource their payroll simply because it offers more benefits than doing it “in-house”.  


Outsourcing Payroll Advantages


1. Cost Savings


Businesses save money when they outsource their payroll because they no longer have to maintain an in-house payroll department. Not having to pay salaries and benefits to employees who manage payroll can be a significant cost savings. Businesses can also save money on the costs associated with running a payroll department such as software for taxes, accounting, and compliance.


2. Saves Valuable Time 


Outsourcing payroll can save businesses a significant amount of time. Overall, it helps to reduce the workload of the HR department and frees up valuable time that can be better spent on other aspects of the business.


why outsource payroll


Instead of having to spend time inputting data and ensuring that everything is accurate, employees can focus on other tasks such as sales and customer service. 


3. Increased Accuracy and Quality 


Payroll accuracy and quality standards are important for any organization. When payroll processing is outsourced to an experienced third-party provider, an organization can be sure that its payroll accuracy and quality standards will be met. This is because outsourced payroll providers are experts in payroll and have the latest technology to ensure accuracy and quality. 


Payroll providers are also typically certified by the American Payroll Association (APA). As a result, they must adhere to strict standards of accuracy and quality. By outsourcing this task, organizations can be confident that their employees will be paid accurately and on time.


4. Access to Expert Knowledge


When businesses outsource their payroll, they are tapping into a wealth of expert knowledge. Payroll providers have a deep understanding of tax laws and regulations, and can help to ensure that businesses are in compliance with all relevant laws. In addition, payroll providers can help businesses maximize their tax deductions and minimize their tax liability. 


5. Access to Sophisticated Payroll Processing and Reporting Systems


When outsourcing payroll to a professional payroll provider, businesses can take advantage of sophisticated payroll processing and reporting systems that would be otherwise unavailable or too expensive to maintain. These systems can automate many payroll tasks including payroll tax compliance, benefit deductions, and payroll accounting.


6. Prevent Fraud


One of the risks that businesses face is fraudulent payroll activities. This can happen when an employee alters their timesheet to receive more pay, or uses a company credit card for personal expenses. Payroll fraud can also occur when an outside contractor is hired to perform work but doesn’t deliver on their promise. 


oursourcing payroll advantages


By outsourcing to a credible payroll services provider, businesses can help to prevent fraudulent activities. This is because outsourcing companies typically have strict internal controls in place to safeguard against fraud. They also often use advanced software systems that make it difficult for fraudulent activities to go undetected. As a result, businesses that outsource their payroll can drastically reduce the risk of fraudulent activities.


Looking For Local Payroll Services Near Me? 


Minton CPA & Associates is a full-service tax and accounting firm that specializes in payroll services. At Minton we have over 30 years of experience in processing payroll for businesses of all sizes. We understand the importance of complying with state and federal regulations, and we work closely with our clients to ensure that their payroll is in compliance with all applicable laws.

If you are looking for a reliable and affordable payroll services provider in the Hampton Roads region, Minton CPA & Associates is the right choice for your business. Contact us today to learn more about our services – 757-546-2870.