If you are a small business owner with a growing company, you may have reached a point where it is no longer possible for you to handle human resources duties on your own. If so, it is time to make a decision on how to move forward. Should you hire someone to handle your Human Resource processes or outsource them to a payroll company? Below are some benefits of each method.
Perhaps the greatest benefit of outsourcing your payroll is a guarantee of legal compliance and accuracy. Payroll companies are much less likely to make basic mathematical or tax-related errors that can cost your business financial penalties, and if they do make a mistake, it is built into most contracts that their company will incur the costs. Another huge benefit is time savings, as you will no longer have to deal with the administrative work that comes along with payroll. Finally, depending on your company size, outsourcing your payroll can be much less expensive than the cost of hiring an experienced full-time Human Resources professional for your office.
On the other hand, if you are someone who prefers working with someone one-on-one on a daily basis, you may prefer keeping your payroll in house. A full time staff member will be available instantly to advise you, help you plan for your future staff development and training, and be a sounding board for your ideas. Furthermore, you may find that recent advancements in payroll software make the payroll process more manageable for your office. Additionally, using your own payroll processing software in-house gives you instant access to any data and reports you might need. Ultimately, this decision will be a personal one based on your management style and what you feel is best for your company.