From employee training to product design, business owners have enough on their plates as it is. When it comes to payroll processing, you might be better off delegating the task to a third party. Here are just a few of the advantages of hiring a professional and outsourcing payroll.

3 Benefits of Outsourcing Payroll

1. Increase Productivity

As your business grows, it’s easy to get caught up in time-consuming administrative tasks. However, this will detract time from your main goals, such as expanding your client base or improving your services.

If you’re turning away business or postponing your creative projects, outsourcing payroll could be the answer. Instead of devoting hours to preparing W-2s, you can leave this work to a professional who has the skills and software to get it done in a fraction of the time.

2. Ensure Accuracy

Payroll involves a lot more than just multiplying hours by rates. You’ll also need to verify the timesheets and calculate income taxes for your employees. After you withhold these taxes, you may also need to deduct benefits (such as health insurance), retirement savings, and child support or other wage garnishments.

If you make a mistake, you could be left with low employee morale or penalties from the IRS. Luckily, a payroll processing professional will have years of training and experience to prevent these miscalculations, so the right deductions are made each time.

3. Enjoy Peace of Mind

While unfortunate, it’s crucial to consider the risks associated with letting a company member handle payroll. Crimes like embezzlement or fraud could cost you your company’s success, and leave your employees with the short end of the stick.

When you hire a third-party professional, you won’t have to worry about the ulterior motives of your partners—your payroll professional won’t have anything to gain by tampering with the numbers. They will also have the safeguards in place to avoid leaks and data breaches, so you don’t have to worry about identity theft.

To start outsourcing your payroll processing, turn to Dave's Bookkeeping and Tax Service. This Quakertown, PA, company offers conscientious accounting services, so your employees will always receive the pay they earned. They can work with both W-2s and 1099s, and they’ll make sure that the correct taxes and deductions are removed. To schedule a consultation, call (267) 212-6491. Or, visit the website to learn more about their bookkeeping services.