Paper Trails > Outsourcing vs Keeping It In House

Outsourcing vs Keeping It In House

Navigating the complexities of payroll processing and human resource management is a critical component for businesses of any scale. This article delves into the pivotal decision-making process: whether to keep payroll and HR tasks in-house or to outsource payroll to a specialized provider like Paper Trails. Both routes come with their distinct advantages, and the choice hinges on your specific business context. We present an insightful comparison chart, outlining the benefits of each approach, from the expertise and compliance assurance offered by outsourcing to the control and data security maintained in-house.

Should I Outsource My Payroll & HR Services or Do It Myself?

Payroll processing and human resource management is a required aspect of a business of any size. Choosing to process your own payroll in house or outsourcing payroll processing tasks is a decision you will want to take your time making. Depending on your company’s situation, one way to process payroll may make more sense than the other. Carefully weigh your options and make a decision that is right for you. The chart below list benefits of both outsourcing HR and managing these tasks in house.

Benefits of Outsourcing Payroll vs In House Payroll

Outsourcing Payroll & HR to a Provider like Paper Trails	Managing Payroll & HR In House
1. Expert team looking out for your business and ensuring compliance Outsourcing payroll can save your company the headache of worrying about accurately reporting and filing items such as employee pay, federal and state taxes, and benefit contributions. At Paper Trails, we stay up to date with all necessary changes and act quickly and accurately to keep your company compliant and limit your exposure to tax penalties. Having a payroll provider also comes with a knowledgeable staff that is at your fingertips. At Paper Trails, we do not have a 1-800 number and are happy to assist you with any questions or concerns that you have. 2. Streamlined processes Using an outsourced payroll and HR provider will give your company access to a more streamlined and integrated HR process. Paper Trails offers an all-in-one payroll and HR solution that centralizes HR functions and allows you to do tasks like: a. pay employees b. manage their time and attendance c. manage benefits administration d. onboard new employees e. post an employee or companywide schedule f. track and recruit applicants to new positions g. manage your books easily and efficiently Companies that do their payroll and HR services in house often have inefficiencies in their processes by using multiple different applications for the above business functions. A streamlined process is a great way to save your company time and money. 3. Reduced costs and workloads Working with an outside payroll company can save your business time and money. Payroll providers, like Paper Trails, charge on a per employee basis per pay period or per month. Base fees and per employee costs will generally add up to less than an average annual salary for a payroll processor and HR employee, which is $47,020. Allowing Paper Trails to worry about things like processing payroll, figuring out tax withholdings, and keeping your company compliant, allows your HR staff and mangers time to worry about keeping your business thriving. Reducing the time that it takes your staff to complete administrative tasks gives them more time to focus on revenue generating tasks.	1. Control over process Many business owners and HR managers like to have full control over their business and their money. Business owners want to make sure sensitive employee information, such as pay, benefits, and bonuses, are secure and only seen be certain people. Paper Trails can provide this control by setting privileges to owners, managers, and supervisors on how much or little information and duties they have access to. The isolved system can be customized to your companies needs to allow you to know who can see or complete certain business tasks. 2. Data security Data security threats can increase as more access to outside vendors is granted. However, Paper Trails fights data security by having securities protocols in place such as requiring employees to stay up to date on security awareness and training, clean desks policies, and non-disclosure agreements. Paper Trails uses isolved security features to limit visibility within the system.

Outsourcing Payroll & HR to a Provider like Paper Trails

Managing Payroll & HR In House

1. Expert team looking out for your business and ensuring compliance Outsourcing payroll can save your company the headache of worrying about accurately reporting and filing items such as employee pay, federal and state taxes, and benefit contributions. At Paper Trails, we stay up to date with all necessary changes and act quickly and accurately to keep your company compliant and limit your exposure to tax penalties. Having a payroll provider also comes with a knowledgeable staff that is at your fingertips. At Paper Trails, we do not have a 1-800 number and are happy to assist you with any questions or concerns that you have.

2.      Streamlined processes
Using an outsourced payroll and HR provider will give your company access to a more streamlined and integrated HR process. Paper Trails offers an all-in-one payroll and HR solution that centralizes HR functions and allows you to do tasks like:
a.      pay employees
b.      manage their time and attendance
c.      manage benefits administration
d.      onboard new employees
e.      post an employee or companywide schedule
f.       track and recruit applicants to new positions
g.      manage your books easily and efficiently

Companies that do their payroll and HR services in house often have inefficiencies in their processes by using multiple different applications for the above business functions. A streamlined process is a great way to save your company time and money.

3. Reduced costs and workloads
Working with an outside payroll company can save your business time and money. Payroll providers, like Paper Trails, charge on a per employee basis per pay period or per month. Base fees and per employee costs will generally add up to less than an average annual salary for a payroll processor and HR employee, which is $47,020. Allowing Paper Trails to worry about things like processing payroll, figuring out tax withholdings, and keeping your company compliant, allows your HR staff and mangers time to worry about keeping your business thriving. Reducing the time that it takes your staff to complete administrative tasks gives them more time to focus on revenue generating tasks.

1. Control over process
Many business owners and HR managers like to have full control over their business and their money. Business owners want to make sure sensitive employee information, such as pay, benefits, and bonuses, are secure and only seen be certain people. Paper Trails can provide this control by setting privileges to owners, managers, and supervisors on how much or little information and duties they have access to. The isolved system can be customized to your companies needs to allow you to know who can see or complete certain business tasks.

2. Data security
Data security threats can increase as more access to outside vendors is granted. However, Paper Trails fights data security by having securities protocols in place such as requiring employees to stay up to date on security awareness and training, clean desks policies, and non-disclosure agreements. Paper Trails uses isolved security features to limit visibility within the system.

So Should I Outsource My Payroll?

When trying to decide between outsourcing or not, keep in mind your situation. Think of things like your company’s size, your company’s budget, and your current process and future goals. If you would like to take stress off your employees, save them time on administrative tasks, ensure company compliance, and save money, outsourcing may be the best choice for your company.

If you would like to learn more about the benefits of working with Paper Trails, please feel free to contact us at 207-721-8575 or on our website here.

Outsourcing vs Keeping It In House

Should I Outsource My Payroll & HR Services or Do It Myself?

Benefits of Outsourcing Payroll vs In House Payroll

So Should I Outsource My Payroll?

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