You can’t exactly operate your business without running payroll. After all, people work to earn money and you don’t need dozens of angry employees on your hands. Unfortunately, you can’t bill anyone for the hours you spend preparing employee paychecks. 

When you have limited time as a small business owner, the easiest path to profitability is ensuring that you spend most of your time completing activities that bring in revenue. That’s why outsourcing payroll is a smart business decision for most companies.

Outsourcing Payroll Costs Less Than In-House Payroll

The time-consuming nature of payroll makes it an expensive proposition for small and mid-sized businesses. If this statement surprises you, consider everything associated with payroll in the typical smaller company:

  • Calculating hours worked for all employees
  • Calculating payroll deductions such as federal taxes, state taxes, social security, Medicare, voluntary benefits, and wage garnishments
  • Printing, signing, and distributing paychecks
  • Purchasing and maintaining payroll software
  • Training staff on how to run payroll
  • Paying staff for downtime when they have completed their payroll duties
  • Preparing W2 statements at the end of every calendar year
  • Keeping up with changes in tax law
  • Generating reports
  • Remitting payroll taxes
  • New hire paperwork

If you’re feeling burdened by your payroll obligation, understand that outsourcing payroll removes your responsibility for each of these tasks.

Reduce the Risk of Leaking Sensitive Financial Data

Did you know that running payroll in-house increases the risk of identity theft? It’s understandable when you consider that employees with access to payroll can easily use social security numbers and other private details to impersonate other employees for financial gain. 

You also need to consider that the software, network, or server your company uses for payroll may not be as secure as you would like it to be. This only increases the possibility of compromised data.

At Nolan Accounting, we use extremely secure servers that encrypts data to protect the privacy of your employees. Outsourcing payroll can save you considerable money from upgrading the security of your own software, network, and servers.

Payroll Isn’t the Only Thing We Do

In addition to taking over your company’s payroll, we offer tax planning, business consulting, full accounting services, and much more. We invite you to contact us to claim your free consultation today. You may also request more information or watch the video on our Services page to learn more about how Nolan Accounting can help your small business become as profitable as possible.