Taking good care of the payroll in your business can be one of the most important functions to fulfil. Employees who are not compensated for their work correctly on a consistent basis will not be content in the work place and an unhappy employee will be less productive. With payroll outsourcing you can take all the hassle and worry out of ensuring that your employees receive what they are due for the work that they put in on the date that their salary or wages are due.
Incorrectly paying your employees can minimise the respect they have for you and for the company. This will lead to the employees not working in accordance with the policies and procedures that you have within your company. Payroll outsourcing can assist you with a number of other Human Resources Functions such as setting up policies and procedures that suit your company.
However, payroll outsourcing provider’s main function is to assist with the right compensation of your employees. This means that they need to be up to date with the latest legislation with regards to labour law as well as tax law and any other regulations that govern employment in South Africa. You need to ensure that the payroll company that you choose makes an effort to keep their staff up to date with legislature so that they can provide you with top notch services.
A payroll company should also be up to date with the latest technology available on the market as it relates to payroll. Your employee’s salary and personal information are private and confidential so find out what measures the payroll outsourcing provider takes to keep this information protected. Also enquire as to whether the provider you choose will be able to provide security sealed payslips for each of your employees.
Depending on the type of business you run, find out if your payroll outsourcing provider offers weekly as well as monthly pay runs. This will give you the benefit of having your employee’s wages as well as their salaries taken care of. Remember that although most payroll providers will perform all the complicated calculations for you, you will still be responsible for paying each of your employees.
This makes it necessary to ensure that all salary information including overtime is submitted to your payroll outsourcing company way before payment to your employees is due. Keep in mind that the payroll provider will have many other clients who require their payroll to be completed at the end of every month. Find out what type of time limit the payroll provider has for you to submit any changes or additions to the payroll information.
The greatest benefit of opting for payroll outsourcing services is that this is one of the most affordable options available. While most people opt for payroll software packages, they soon realise that it is not just the cost of the software that influences their long term expenses but employing a trained and qualified operator of the relevant payroll software that they have purchased.