Outsourcing Payroll Risks & Benefits

Payroll outsourcing has become very popular in Australia over the years. The main reason for this is that payroll outsourcing is cost-effective. It offers a business with several advantages. One of these is that outsourcing payroll outsourcing allows an entrepreneur to have complete control over his payroll functions, thereby freeing up business resources for other important aspects of the business.

Outsourcing payroll services is usually performed to minimize cost and increase time saved to address administrative tasks pertaining to payroll administration. In other words, payroll involves the procurement of outside help to take care of the administrative tasks involved in processing payslips. There are various outsourcing companies that provide payroll administration and management services, so it is necessary to conduct careful research before choosing the right provider to outsource these services.

What is Including in Payroll Outsourcing?

Some of the common tasks that are outsourced include processing income taxes, benefits requests, and employee insurance claims.

  1. Another task commonly outsourced is that of processing income tax returns.
  2. Payroll services may be utilized to manage payrolls for salaried employees and/or non-salaried employees.
  3. Some payroll providers offer their services to companies with a limited number of employees.
  4. This allows the company to focus on its business goals and less on the payroll function.

What You Should Consider Before Hiring a Payroll Company?

When conducting a search for a payroll outsourcing provider, it is important to evaluate different service packages offered by different service providers. If the business owner is to outsource its administrative functions, it is imperative to choose a payroll outsourcing company that is reliable, experienced and has a proven track record. A reliable outsourcing provider may require a minimal investment. However, if the goal is to save costs and increase efficiency, it is advisable to outsource more functions. Outsourcing is cost-effective when the function is used to increase efficiency in other areas of the business.

Save Valuable Research

Using payroll outsourcing services enables the company to save valuable resources. Time is also saved because payroll processing and reporting can be done from any location. Moreover, employees do not have to spend extra time completing their payroll or filing tax documents. For businesses that generate large volumes of payroll records, it is advisable to outsource the entire payroll function to a payroll outsourcing service provider.

Time Saving

With the increasing demand for payroll outsourcing services, many recruitment agencies and payroll outsourcing vendors have come into existence. In Australia alone, there are many outsourcing vendors. The increasing demand for these services has led to an increase in the competition between these vendors. The increase in competition has also led to a price reduction and quality enhancement. To lure potential clients, many vendors conduct training sessions. These training sessions are aimed at educating the HR executives about the benefits of using payroll outsourcing services and the challenges that the vendors must face to provide quality services.

Benefits of Outsourcing

The increasing number of employees who perform payroll tasks has also forced the companies to look for cost-effective payroll services. This has created a situation where the companies must cut costs on various activities such as payroll, tax lodgement, and benefits administration. Since payroll services are mandatory in all businesses, employees feel pressure to work hard to meet payroll requirements. Many employees are found to be taking payroll help from their friends and relatives to meet payroll requirements.

Where to Get the Best Payroll Outsourcing in Australia?

There are many payroll outsourcing organisations in Australia. International Commercial Services is one of them that specialises in Payroll Services. However, what sets us apart from our competition is that International commercial Services is a one-stop shop for all your Australian reporting requirements. This helps reduce the burden in outsourcing various functions of the Accounting & Tax department to several organisations and improves continuity. We are well-experienced, reliable, and professional taxation and accounting service providers located in the heart of the Sydney CBD.

Services included:

  • Entity set up and resident director services.
  • Business Activity Statement & Instalment Activity Statement reporting
  • Income tax reporting
  • Payroll Outsourcing
  • Management reporting

Why are we among the best in Australia?

  1. We are highly professional.
  2. Over 15 years dealing with a vast array of international clients.
  3. Reliability 
  4. On time completion of any requirements
  5. Tax experts

Get In touch With Us!

As payroll has become more important today, the employees feel the need to maximize the payroll tax deductions allowed by the government. In addition, employees have become more diligent in filing their payroll tax returns every year-end. By using a payroll service provider, it is easy for the payroll department to calculate and take the correct deductions. Since the numbers are already pre-calculated, the employees can directly input the information and the payroll processing machine will automatically deduct the expenses as they are deducted from their salaries.