Outsource your payroll - and save time, money and stress!

Do you know how much time you spend on payroll every week? It's probably a lot more than you think! Payroll is one of those essential tasks that you can't afford to mess up, or you'll face serious consequences. But it's also tedious and complicated - the more employees you have, the more complicated it gets, but your team deserves to be paid correctly and on time, so payroll has to be done.

So, how can you solve this problem? The great news is, you don't have to do it yourself! Outsourcing your payroll function is a smart and efficient way to save time and money, and to reduce your stress levels!

Payroll Outsourcing Explained

Payroll outsourcing is a simple idea. You hire a payroll expert to take care of the entire payroll process for you. You save time and ensure that your staff get paid correctly and on time.

A payroll outsourcing provider can handle different aspects of payroll, such as data entry, pay calculation, deductions, fund transfers, tax filing, and record keeping. You can decide which services you want to outsource based on your business needs. Your payroll provider can also integrate with your payroll software (if you have one) so that you and your staff can access the relevant information anytime.

Why Should You Outsource Your Payroll?

Payroll is a crucial task for any business, but it doesn't have to be done by you. In fact, there are many benefits to outsourcing it to a professional service. Here are some of them:

Save money

Think about how much time you spend on payroll every week. Maybe an hour or more? If you charge $100 an hour for your services, that means you are spending $450 a month on payroll. That's a lot of money that could be better spent elsewhere. Outsourcing your payroll to a professional service will cost much less than that, and free up your time for more profitable activities.

Save time

By outsourcing, you are not only saving money, but also time. Imagine what you could do with an extra 4.5 hours a month or 54 hours a year. That's almost two weeks of extra work time that you could gain, every year.

Ensure Compliance

How familiar are you with all the laws and regulations regarding employee rights and obligations? You may know the basics, but not the details. However, you’re liable for any errors or violations that occur in your payroll. That exposes you to the risk of fines (or worse) if you make a mistake. Fortunately, payroll professionals are experts in this field and know how to comply with all the rules, protecting your business and employees.

Leverage Expertise

You probably started your business because you are passionate about what you do, and good at it. Along the way, you have learned how to do the things necessary to run a successful business. Payroll is one of those things, but not your core competency. Payroll professionals, on the other hand, specialise in this area and have the skills and experience to do it well. By outsourcing your payroll to them, you can focus on what you do best.

How do you choose the right provider?

Choosing the right payroll provider is crucial for your business, as they will handle a vital aspect of your operations. To make an informed decision, you should keep in mind these factors:

Know your needs

Different providers offer different types of service. You should compare their offerings and see if they match your requirements, without paying for unnecessary features or missing out on essential ones.

Communication level

Even if you outsource your payroll, you still need to communicate with your provider regularly to update them on any changes in your staff, or payroll policies. You should find out how they communicate and how much access you have to your own data.

Trust

You should feel confident that your provider is reliable, accurate, and compliant. You can meet them in person or online to get a sense of their professionalism and rapport.

Ask for referrals

One of the best ways to find a good provider is to ask other businesses who use their service. You can get honest feedback on their performance and satisfaction.

If you would like to know more about how outsourcing your payroll could be beneficial for your business, then get in touch with us today.

< Older Post Newer Post >

GST changes for online marketplaces and apps

25 Apr, 2024

From 1 April 2024 “Electronic Marketplace” transactions will be subject to GST in New Zealand, even if the person delivering the service, is not GST registered. This legislation was passed in 2023, and although National campaigned on repealing this law if they got into power, they confirmed in December 2023 that they will now leave the legislation in place. The new legislation covers more than just properties, it also covers Uber and Uber Eats, for example. But we are just focusing on the property implications and what it means if you own or rent out a room, bach, or an investment property. If you have booked a property for a work or family trip any time after 1 April 2024, you should also continue reading, as there are possibly implications for you too. So, what does the law say? That platforms like Airbnb, Booking.com, Expedia, Vrbo etc. are required to charge GST on all transactions and pay this GST over to Inland Revenue (IRD) where the owner of the property is: GST registered: Pay 15% to IRD. Report your income as zero-rated on your GST return. This ensures the income is declared and you do not pay the GST twice. It also means that you claim your GST on expenses, and will likely receive refunds each GST return. NOT GST registered: Pay 6.5% of the GST to IRD and pay the remaining 8.5% to the property owner. If you are not registered for GST there is nothing for you to do. You only qualify for an exemption if: your income from these activities is over $500,000 per year: or you had more than 2,000 nights booked in a year. This means that all these platforms are frantically updating their software to allow for the collection and payment of GST to IRD. Here’s what we do know: Expedia : They have NOT been able to update their software and will be removing ALL NZ listed properties from 1 April 2024, unless you qualify for the exemption above. If you have a property listed on Expedia, they possibly may remove it. There is no clear guidance as to what happens if you have bookings for the future but we suggest you contact your guests. Be careful how you do this though, as it’s against Expedia’s rules to make contact with guests outside of their system. If you are travelling and made a booking on Expedia, you may also have an issue - contact your host to work out what to do. Vrbo (ex Bookabach): While owned by Expedia, they have upgraded their software and will be able to cope with the new GST. But be aware, from 1 April they will automatically add 15% GST to all bookings. So, this will increase your nightly rate by 15% and make your property more expensive. You will have to manually update your rates to reflect this change. Airbnb: They, too, have decided they will add 15% GST to every booking from 1 April 2024. Their system says they are not yet set up to deal with NZ GST. Booking.com: They have not yet provided guidance on what they are planning to do. Will they be like Expedia and just stop supporting NZ properties or will they be like Airbnb and just add 15% to all bookings? So, a warning, if you are not GST registered, and you have not told your platform provider, it appears they will default to adding 15% GST to your property and pay this 15% to IRD. How you get your 8.5% back remains a mystery. If you are planning on booking accommodation, be wary of using Expedia or Booking.com, as a booking after 1 April 2024 could potentially cost you 15% more! In any event, landlords and holiday makers should revert to their booking platform for the latest information and policies. If you want to know more please reach out to us.

Five ways for better business efficiency

23 Apr, 2024

Everyone likes efficiency, the more efficient something is, the better - right? Especially with the economic climate still needing some work. If you’re wanting to save some time (and money), making your business processes more efficient is a good place to start. It also means that you can put more time into working ON your business, rather than in it. Here are five ways you can make your business a little more efficient. Better invoicing This sounds obvious, but the more efficient you are at invoicing, the less time you spend on it and the more time you save. And time is money. Develop a process that makes this more efficient – which is something that can vary by industry. Think about whether you can set up recurring invoices or have your staff invoice for the job on completion. Where can you reduce the headache of invoicing and make it more efficient? Streamline expense claims Develop a digital solution for your expense claims process. This way your team can submit their receipts and approve expenses online – which reduces mistakes, and not having everything you need to approve the expense. Utilise online/digital software Almost everything has a digital version, so it’s time to utilise it so you have business data wherever you are. No more going back to the office to check a number, getting back to clients with final details, or reworking quotes because the numbers were wrong. If it’s all available at your fingertips, this drives efficiency. Maintain lean(er) stock levels If your business sells inventory, lean inventory management could help you reduce unwanted costs, and become more efficient. The idea is you only produce or order in the stock you actually need. By optimising inventory levels, you can reduce carrying costs and align supply with customer demand, which means you won’t be falling over, or holding space for, excess stock. Review your overheads Another component of business efficiency is keeping costs down – like overheads. Have you checked if the costs from your suppliers, like rent, bills, and transport, are needed? Have you also looked for ways to reduce these costs?Consider whether you can achieve the same outcome for lower costs? Could alternative suppliers provide a quality service at lower cost? Are office supplies being stockpiled from habit rather than need? If you need tailored advice on how you can make your business model more efficient, get in touch with us.

How to write a recruitment advertisement that stands out

18 Apr, 2024

Finding the right staff for your business can be tough. Hiring can be challenging, but the right team can really support the growth of your business. Attracting the right staff starts with writing a recruitment ad that makes your role stand out in the crowd. Here are three ways you can make your job ad more appealing: Sell the role Rather than beginning the ad with the job description or a list of requirements, start with what makes the job most appealing. Is it the industry, location, pay, or perks? Be up front with the advantages so that it’ll grab people’s attention and encourage them to read further. Keep it short and sweet While it can be tempting to write a novel so that it paints your business in the best light, it’s better to keep your job ad short and sweet. Aim for a maximum of 700 words that are straightforward with readable language, and avoid adding unnecessary words or repetition. Avoid meaningless clichés Every job ad mentions their amazing team, or how the environment is fast paced. Everyone says they’re offering a ‘competitive salary’. All jobs are looking for self-starter’s or those who can hit the ground running. Rather than using the same phrases as everyone else, be different. What can you write that makes your business stand out from the crowd – you could provide the actual salary, for instance. Describe the job, the team, and the environment clearly and accurately. This helps the candidate get a genuine understanding of the role and that’s what piques their interest – not the same phrases that everyone else is using. Hiring Now that you’ve attracted the right person for your team, make sure you cover your bases when hiring (especially around trial periods). If you need help with employment contracts or other employment-related questions, let us know we’re here to help.