There are legal requirements that need full compliance when running payroll; however, businesses have tons of moving parts and payroll is just a single aspect. As it’s easy to make errors on payroll processing, we’ll provide you with the steps to outsource your company payroll to ensure you satisfy governmental obligations and maintain accurate payroll records.
How experts can help
Outsourcing payroll to experts provides a number of benefits to businesses as they perform:
- Full compliance to UAE employment legislation related to employee wages;
- Timely and accurate salary transfers;
- Electronic generation of pay slips;
- Disbursal of commissions, bonuses, overtime pay, and all other kinds of compensation;
- Reconciliation of accounts;
- Calculation, review, and payment of employee benefits;
- Expert analysis of payroll-related data
- Generation of customized reports and maintenance of payroll records
- Handle queries of businesses
Types of payroll outsourcing companies
There are a number of service providers that you can tap for outsourcing company payroll. SMEs, firms, and even corporations rely on the services and expertise of specialist payroll companies, accountants and bookkeepers. While there are those better at handling payrolls of small and medium-sized enterprises, others target big, multinational corporations. These are the two broad categories of payroll processing providers:
DIY Service Provider
With this kind of payroll service, a business is required in maintaining employee records and recording time and attendance of employees, while the payroll outsourcing company calculates the pay, taxes, and all other deductions to employee wages and reimbursements.
Full-service Payroll Outsourcing Company
A full-service payroll outsourcing company can manage all aspects of company payroll, including the tough and complex aspects, but there’s a need for you to provide timely and easy access to timesheets (applicable for hourly workers), as well as notices of changes to employment terms.
Steps to outsource company payroll
Hiring the expertise of service providers in processing payroll is critical in effectively and efficiently running a business. To ensure you choose the provider that can meet your needs and requirements, follow these steps:
Step 1: Interview
Shortlist the payroll providers that offer services your business needs upfront. Then, ask them questions related to the following: turnaround; liability of the company for payroll mistakes; additional charges for changes and additions to employee payroll; annual or monthly fees; frequency of reports; accounting software used; customer service availability; and processes in securing employee and business data.
Step 2: Test Drive
You can assess the accuracy of the reporting of a payroll outsourcing company by requesting sample reports. If they are easy to understand and in the language you fully comprehend, plus they meet your requirements and expectations for running payroll processes, then you can move on to signing a contract with the service provider.
It is essential for you to hire a good service provider as its services will allow you to spend less time thinking and managing payroll, letting you focus on running your business.
Let the accountants and bookkeepers of Farahat & Co. handle your company’s payroll. Our Payroll and HR Outsourcing Services will help ensure an effective administration of payroll processes, including accurate calculations of statutory contributions and timely fund deposits. Our experts also employ the necessary safeguards in ensuring confidential data about company processes and employees remain private and secure. For more info, get in touch with our Sales team today!