Many businesses especially small ones try to do their payroll process and in-house. It is commonly delegated to a trusted employee and with the assistance of their bookkeeper or accountant. But without technology, it needlessly consumes a significant amount of time and money.
Business owners are often mistaken that doing their payroll manually and in-house is more practical. However, but they are just not aware of the benefits of using online payroll systems. To address this problem, here are the things that makes an online payroll software necessary for a business:
It is more Affordable and Time Efficient
Try to calculate all the unnecessary hours being spent by your accounting department or HR professionals preparing to run payroll and manage tax filings? Can you imagine how much money you are spending and how much time you are losing for that process?
It is important to understand that managing your payroll manually nowadays is just a waste of time because you and your team can save a lot of hours and money on administrative tasks when you automate them using an online payroll system.
After setting up an online payroll system is set up, completing payroll will only take a couple of minutes instead of hours. The online format will also make it easier to calculate pay based on hour, overtime and bonuses while effortlessly keeping track of PTO. This way you and your team can focus on more important things such as your business’ growth.
Using a Software reduces the risk of Human Error
No matter how familiar or skilled you think you are in entering data, you cannot be 100% sure that there will be no data entry errors especially if the information has to be entered every pay period. But with an online payroll system, employee data is needed to be entered only once. This means mistakes are less likely to happen because there is a reduced chance for you to manually enter an incorrect information.
Online Payroll can be Accessed Anywhere
With an online payroll system that can be remotely accessed, your designated payroll processor can check the accuracy of payroll reports, generate tax forms and process salary and super payments wherever he/she is for as long as there is an internet connection. This makes the job easier for everyone and it is perfect during these times especially with an ongoing pandemic where working at an office is not preferable.
Better Equipped to Meet Deadlines
If you struggle meeting tax payment deadlines and other dues before, maybe it is because your in-house payroll system lacks the level of reliability you need. So, to prevent unnecessary penalties because of missed deadlines, it would be better to switch to online payroll platforms.
It Provides an Enhanced Data Security
The security of your payroll data should be treated with the topmost confidentiality and sensitivity as it contains personal data such as birth dates, mailing addresses and more, it is your responsibility to protect that information.
One way to effectively do that is to securely store the data in the cloud through an online payroll software. That cloud-based system provides you not only with a higher level of security, but it also a protected access wherever you are.