Online payroll services or payroll software programs can satisfy several everyday business needs. Specifically, online payroll services ensure your workers receive the compensation that they are entitled to and that every dollar is properly accounted for. Beyond this, an online payroll service can help a company save money in many different areas. Read on to learn more.
Time Is Money
Many small- to medium-size companies might employ an accounting and payroll team to calculate and process employee paychecks. Taking the time to ensure each paycheck is correctly figured before issuing it to the employee takes time. A robust team will be able to check and double-check that everything is accurate. That said, maintaining such a team can be expensive, costing a business both staff time and salary or hourly wages of its other employees.
An online payroll service presents a company with several benefits, including:
- Time: The payroll program handles the calculations so the business does not have to assign a whole team to navigate the payroll process. Generally speaking, the process requires an employee to double-check the program’s calculations. This effectively reduces the staff-hours needed to complete payroll processes. Not to mention, the program can quickly make calculations without the risk of human error.
- Money: With staff spending far fewer hours on payroll processes, the business no longer has to invest as much money into payroll as it would have with all-human payroll calculations.
- Efficiency: Because staff members no longer need to spend several hours per pay period calculating paychecks, they can streamline the process and get the work done more neatly. This, in turn, promotes better morale and increases overall productivity.
In addition to simple paycheck calculations, online payroll services include several other features that can reduce the staff time spent on certain processes. For example, payroll services often offer automatic tax calculations, automatic filing services for the company, accounting updates, time management tracking, time-off tracking and approval, Cloud access and the opportunity for multiple users to access the program. With all of these additional features, depending on one staff member or a team of staff to complete certain tasks isn’t necessary. The program handles a lot of the work for you. Should something need to be done manually, the open nature of the program allows for this without requiring staff to view and change information.
Because they allow for multiple people to use one system, most online payroll services come with security measures to keep every aspect of payroll documentation protected. Cloud-based online systems use encryption software that prevents hacking, identity theft and data loss.
While payroll systems best meet the needs of midsize to large businesses, they are suitable for any sized company. Their features are ideal for all companies that need to save time, reduce the likelihood of computing errors and improve overall business efficiency.