Benefits of Payroll Outsourcing for Growing Businesses

You have reached a point in your growing business where you are considering payroll outsourcing. Regardless of the size of your business, how do you tell if payroll outsourcing is required? If businesses reach a point where they do not seem to have the time to get everything done on a daily basis, one of the first things that they would often do is to outsource their payroll.

Payroll processing is a routine job that requires staff to meticulously follow data gathering and validation routines. No matter how efficient a business owner may be, the time taken to process payroll could have been well spent on the core business otherwise.

Outsourcing your payroll function can be beneficial in the following ways:

  • Takes away the pain of routine payroll processing
  • More time to focus on revenue-generating activities
  • Reduces manpower cost by tapping into government incentives


Once you have decided to engage a payroll service provider, you would need to seek clarification on several issues:

  • Is the company trustworthy?
  • Who will you be liaising with? Who are involved in the support team?
  • Will your payroll data be processed locally or overseas?
  • What security measures are in place to safeguard your data?
  • What are the charges and add-on costs?
  • When is the cut-off period?
  • What are the service deliverables?

Outsourcing your payroll can save you a lot of time and effort. Most importantly, companies need to check the credentials of the prospective service provider before committing to a contract.

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