Outsourcing, Payroll

The financial benefits of a cloud-based outsourced payroll

Outsource Benefits

The benefits of the cloud have been well documented. Cloud solutions are accessible anywhere, are more flexible, offer agile service, there is no hardware to maintain, no manual backups to keep on top of, no more paper-based processes, and most importantly, no large capital outlays.

The top financial reasons to move your payroll to the outsourced cloud now (if you haven’t already)

One of the most compelling reasons for companies to choose outsourcing is that you are not required to pay license fees, and you need only pay for what you use; no more, no less. However, with PaySpace Outsourcing, we take this a step further.

We own our software

This means that we are the owners, purveyors and designers, so there is no additional software cost when using our services because the software is already ours. This is a game changer in the industry we operate in.

Further to this, PaySpace Outsourcing also has full command and control of our software, and therefore a far larger degree of influence when it comes to any potential adaptations in the software or additions to it. We have direct say in this, as well as direct access to the people who make these decisions, which enables us to give input on important decisions aimed at benefiting our customers at the end of the day.

Using an outsourced solution improves payroll accuracy and there is also money to be saved here. The fewer mistakes made in your payroll, the less unnecessary costs you need to pay for. This in turn leads to another round of savings on after-costs involved when making extra payments, or for any fees that you might not be able to recover.

The importance of compliance and the cost saving implications

When your payroll is compliant, you won’t end up overpaying tax, UIF or SDL. This applies to tax efficiency too. Using an outsourced solution ensures that you don’t tax anything at the wrong rate, or pay more than you should be paying. This is particularly relevant in the wake of the Covid-19 pandemic, with various initiatives, such as ETI and TERS, aimed at helping beleaguered businesses during this trying time. Using an excellent payroll outsourcing solution eliminates the potential for errors as PaySpace Outsourcing handles the entire payroll cycle for our customers and helps all of them navigate this often complex regime.

There are highly specialised areas within payroll. For example, we have come across a company that specialises in Workmen’s Compensation Assessments. They look at what a company has been reporting, its risk category and suchlike, and once done, ensures that assessments are submitted correctly resulting in direct cost savings.

PaySpace Outsourcing’s network of experts

One of PaySpace Outsourcing’s greatest strengths is that our experts know who to bring our customers into contact with. We have been in the industry for a long time. When it comes to certain specialised areas, we have, over the years, developed a list of accredited specialists in order to offer our customers the benefit of referring them to pockets of excellence. This is another way to achieve a cost saving. Some of these specialists don’t charge customers a flat fee; the only charge they level against them is 10% of any savings they can quantify through their service.

Finally, the financial benefits should not necessarily only be equated to rands and cents. There is a lot to be said for gaining efficiency and avoiding issues, which, while it is hard to measure quantitatively, can become very apparent when there’s a remarkable reduction of effort or suddenly having significantly fewer challenges to deal with. When you are using a service that guides these things with foresight, a lot of hassle can be avoided. There’s a lot of intrinsic value in this, as there is value in simplicity, in forward planning and in anticipation.

Outsource Benefits

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