Business owners who value their time and peace of mind often end up outsourcing payroll. By partnering with a full-service provider, most of their payroll responsibilities – wage calculations, tax withholdings, deposits, reporting, etc. – are taken care of for them.
Why Choose an Outsourcing Payroll Service?
Employers who don’t have the administrative resources or the expertise to run the payroll on their own may want to seek professional assistance from a third party. Other reasons for outsourcing payroll are that it helps:
When employers take payroll off their plate, they often have more time to focus on other core activities to grow their business, such as product development, customer service, and sales.
Minimize payroll errors
Payroll providers automate many of the labor-intensive aspects of payroll, thereby reducing mistakes commonly resulting from manual calculations and data entry.
Outsourcing payroll to a reputable provider that invests in state-of-the-art technology and has redundant backup and multiple server locations can help employers safeguard their confidential data.
Payroll providers stay on top of changing government regulations so employers don’t have to and will often take the lead in filing all paperwork necessary for compliance.
When payroll is fully integrated with time and attendance, benefits, and other HR applications, it improves data accuracy and makes it easier to access information through single sign-on.
Facilitate employee self-service
Full-service payroll typically allows employees to view their pay information, log their hours and manage their withholdings – all from a mobile device.
Payroll providers charge fees, but when compared to the cost of the fines and penalties that can result from mistakes, outsourcing payroll may save businesses money.
What Features Do Payroll Outsourcing Providers Offer?
Payroll outsourcing providers that have the knowledge and technology necessary to produce accurate, timely results generally offer these key features:
- Payroll processing that integrates with an accounting system, if needed
- Payroll tax filing
- Employee self-service anytime, anywhere, from any device
- Employee pay options, including direct deposit and pay cards
- Year-end processing, including Form W-2, Wage, and Tax Statement
- Wage garnishment processing
- Payroll and custom reporting
- Employee recordkeeping
- New hire reporting
- Accessible client support
How To Choose The Right Provider For Outsourcing Payroll
Knowing what to look for in a full-service payroll provider can help smooth the transition, minimize employee disruptions, and preserve peace of mind. When assessing potential partners, employers generally follow these steps to ensure that outsourcing payroll is a success:
- Determine requirements
- Multiple pay frequencies and employee classifications can make payroll complicated.
- Address compliance
- Adhering to multi-state and multi-national jurisdictions adds another layer of complexity for payroll providers.
- Evaluate vendor history
- Reputable providers have stable ownership, strong finances, and a track record of successful implementations.
- Look at peer reviews.
- Industry analysts and clients using the provider’s payroll services can provide an outside perspective and help validate decisions.
- Secure stakeholder buy-in
- Outsourcing payroll is often easier with the full support of employees and senior leadership.
Why Outsource Your Payroll To Bestarion?
Employers who outsource their payroll to Bestarion get some of the most comprehensive services on the market and the assurance that their business is protected. Nearly 99% of customers feel Bestarion helps their company comply with payroll taxes and regulations better than their previous provider.
Here’s what employers can expect from our payroll outsourcing services:
- Quick and error-free payroll processing
- Taxes are calculated, deducted, and paid automatically.
- Quarterly and annual reporting
- Unemployment insurance claims administration.
- Mobile-friendly self-service apps
- Integrated time-tracking capabilities
- Compliance monitoring across all 50 states
How does payroll outsourcing work?
When a business delegates a portion or all of its payroll operations to a third party, it’s known as payroll outsourcing. In addition to running payroll, full-service providers typically help with tax reporting, regulatory compliance, data security, and unemployment claims.
Is payroll outsourcing a good idea?
Every business decision has pros and cons, and payroll outsourcing is no different. Before partnering with a full-service payroll provider, employers should ensure the vendor can meet all of their requirements and has a reliable track record.
Why should you outsource your payroll?
Employers might consider outsourcing payroll to a full-service provider if they:
- Lack of the resources (personnel and technology) to run payroll effectively
- Have been penalized for incorrect or late tax payments
- Are unable to keep pace with changing employment regulations
- Cannot meet data security or recordkeeping requirements
What are the benefits of payroll outsourcing services?
Outsourcing payroll may help employers save both time and money. Not having to spend long hours on administrative work allows employers to focus on business growth initiatives, and improved accuracy can prevent costly penalties. In addition, full-service payroll providers that offer flexible payment options and self-service apps can help improve employee satisfaction.
How much does it cost to outsource payroll?
Payroll outsourcing costs generally depend on payroll frequency, the number of employees, and the specific services being outsourced. There is usually a per-payroll processing fee and an annual base fee. Bestarion works with employers to determine the right payroll setup for their business, whether a start-up company or an international enterprise.
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