How do I choose the right payroll outsourcing company for my business?

The competition is getting fierce, and businesses are continuously striving to sustain and grow their market share.  The business needs to focus more on growth and look beyond payroll processing tasks. Although payroll is not a core business activity, it is still crucial from an HR and compliance point of view. Thus, outsourcing is the best solution for managing payroll and company processing.

Let’s explore best practices for getting the right payroll outsourcing company for your business. Payroll is quite a challenging job for any business, irrespective of its size, as it requires extensive time and effort.

Further inaccurate and inexperienced payroll processing can attract penalties and legal troubles. To ease stress and compliance issues, more and more businesses are choosing to outsource their payroll processing to a third-party payroll service provider.

How do you choose the right payroll outsourcing company for your business?

• Data security and confidentiality:

Payroll data is highly sensitive and confidential, and it also needs secured servers for making online transactions. Although payroll service providers offer various services such as payroll management, tax, reporting, etc., they should not compromise on data security. While outsourcing to third-party payroll outsourcing, you must assure that they have stringent data security policies, privacy agreements, a safe and secure infrastructure, and payroll management services in place.

• Knowledge and experience:

Assessing payroll service providers is necessary to know who and how your payroll will be managed. An inexperienced and amateur payroll processing company may poorly handle payroll processing and make the business vulnerable. You must be aware of the industry experience and knowledge of the service provider and check whether they can provide solutions according to your business requirements.

• Pricing:

Businesses often outsource their functions because they get professional experts on board at an affordable price. They seek hassle-free value for money with affordable payroll services. If you lack knowledge about fair pricing, some payroll companies may charge you more. So, know about the exact pricing model and hidden charges if payable. The pricing must be fair and transparent.

• Accessibility and Convenience:

When you hire an outsourced payroll services team, you don’t want your HR team to contact providers for queries or information all the time. It makes less sense to divert HR department time to address such trivial issues. Thus, to avoid these issues, choose the right service provider that provides accessible and convenient services such as HR logins and an employee self-service portal. It helps employees get easy access to their basic information without any help.

• Statutory compliances:

Payroll rules and regulations are complex and dynamic. Non-compliance with payroll rules can lead to penalties and legal proceedings. Keep your payroll error-free and choose a service provider with expertise in regulatory compliance, data security compliance, and payroll tax compliance.

Finding a suitable payroll service provider will help you outsource your payroll processing without any stress on accuracy, compliance, or data security. Meru Accounting is a leading payroll service provider with qualified and experienced payroll experts offering services across various industries and countries. Get in touch with us at hello@meruaccounting.com to explore our stress-free services.