Is it a good idea to outsource your payroll?

When making a decision about who processes your payroll probably the main consideration will be: will it be more cost effective?
Here are some factors you might consider:
• Can I outsource for the same or less than it will cost to employ someone with the skills?
• Is there enough work for a payroll position?
• Do I have someone in-house who has payroll skills?
• How will an employee keep up to date with payroll legislation?
• How will the payroll  run on time if my employee is not at work ?
• Is there any issue with an employee seeing their colleagues’ pay information?
• What factors affect my payroll and the time it takes to process it? Eg. number of staff, payroll frequency, calculation complexity, frequency of starters/leavers, pension contributions, etc.
• If I outsource my payroll, will it release more time for me/my employees to spend on my/our business activities?
• With GDPR as a consideration, do I have systems in place to ensure privacy and secure and timely delivery of payslips?
Like most business activities, payroll has changed greatly over the last few years. Ever increasing legislation, including payroll in real time and workplace pensions has made payroll more complicated. Whether you run a small or large payroll, now is a good time to look at your processes and consider whether outsourcing might be beneficial.