Running a small business is hard, if it was easy, everyone would do it…
And as a small business owner, you are responsible for everything from the efficiency of the back office operations to the sales and even cleaning the toilets. But that doesn’t mean you have to do everything on your own.
There are times when strategic decision-making and smart delegation can improve things and help the organisation move forward quicker, and sometimes for less cost (if you add up all the lost time).
The management of your own payroll is a case in point and no matter who is tasked with payroll operations, there are plenty of benefits to using online payroll software to get it done.
Here are our 10 benefits you can enjoy when you switch to an online payroll system…
1. Instant Anywhere Access
2. Team Self Service
4. Improve Satisfaction
If your employees are not happy, they will probably let you know and make you unhappy too. And neglecting the morale in your small business could lead to your best team members voting with their feet and heading for the door. But, using an online payroll system could help with the satisfaction and efficiency of your team, as it will help to reduce the likelihood of payment mistakes, which could really irritate them. Ultimately giving you one less thing to worry about and helping you to keep your best team together.
5. Improve Accuracy
Making an error that short-changed a team member, could destroy morale in your organisation and even lead to legal problems. Mistakes that lead to paying your team too much could also leave your business without working capital, and with the headache of getting that money back.. Online payroll software can greatly reduce the risk of human error and make sure your team get exactly the pay they have earned.
6. Save Time
Payroll is not fun and chances are you do not look forward to the monthly payroll reconciliation. But using an online payroll system can make your task easier and save you an enormous amount of time. And what hourly rate would you put on your valuable time? These time savings will give you more time for other important tasks, such as increasing sales or further improving the efficiency of your operations.
7. Enhanced Data Security
The security of your data is essential (especially with GDPR on the horizon) and payroll data is especially sensitive. Your payroll file contains personal data like birth dates, mailing addresses and more, it is up to you to protect this information for your team members. And the best online payroll systems use state-of-the-art security to protect this sensitive data and keep it from falling into the wrong hands.
8. Easy to Use
Payroll can be a real challenge for someone without an accounting background, but online payroll software simplifies things and makes payroll processing far easier. Meaning payroll tasks can be allocated to any team member, lowering your costs and making cross-training easy.
6. Creates an Audit Trail
Audit trails are very important for all financial aspects of your small business, including payroll activities. It is very common for questions to be raised about payroll and pay, and a single disgruntled team member could cause real problems for your organisation. Online payroll software allow you to easily review the payment logs, check deductions and prove that all payments were proper and no one was shortchanged. Gathering this kind of data can take days with a manual system, but this type of software can do it in a matter of minutes.
Manual payroll systems are notoriously hard to customise. But, customisation is far easier with an online payroll system. The best type online payroll system can be customised to the needs of each organisation, whether they are a small startup with single figure team members or a more mature organisation with 100’s.
Automating processes can save your organisation lots of money and payroll is one of the best examples. Processes that could take dozens of hours with a dedicated team, can be done by a single person in a matter of hours.
9. Automatic Updates
Tax & NI rates will continue to change and probably get more complicated with every passing year. One of the biggest benefits of online payroll software is the seamless updating every-time the government decides to tweak the tax code. It might not make your taxes any more affordable, but it will at least make complying with the Government changes much easier and keep your team members happy.
10. Cost Effective
As a business owner, it’s a real challenge to keep costs low and profits high. And switching from a manual payroll processing system to a more efficient online payroll system can save you enormous amounts of money. And the cost savings will increase as your business grows, making it an even smarter investment as you grow and add new team members. Ultimately providing you better results, lower costs and a more strategic approach to running your business.
As you can see, making the switch from manual payroll processing to online payroll software carries a number of important benefits, but it also carries a number of risks, so do your home work and choose your software partner wisely.