Small business owners find it very challenging to grow their business whilst simultaneously looking after human resources, finances, and the daily business operations. A business that is poorly managed can become very frustrating and complicated. For instance, payroll can be burdensome – particularly for those who are new to business management.
5 Tips To Efficiently Manage Your Business’ Payroll Successfully
Don’t Let Payroll Manage You
Keeping up to date with your business’ payroll is vital if you are to manage it successfully. Ensure adequate time is set aside on a regular basis (whether this is weekly or monthly) to complete your payroll run. Payroll management requires accuracy and efficiency. Correcting erroneous data can be extremely time-consuming if not done right the first time. Moreover, good organisational skill is important like keeping and filing all relevant payroll-related documents orderly.
Keep Updated With The New Regulations
Failing to implement the latest legal changes and regulatory practices can put your business at risk. This year, one of the UK’s biggest department stores, Debenhams was revealed to have paid over 11,000 workers below the national minimum and living wage. Such bad publicity has an effect on your company’s image, and exposed your business to reputational risk.
Ensure Confidentiality Of Data
Payroll data contains sensitive employee information, including addresses, bank details and National Insurance numbers. This information must be secure and remain confidential at all times – both electronically and physically. If you are working in a shared environment, you should ensure all your files are protected, safe and secure. It is also a good idea to purchase desk dividers to ensure your screen is not visible to others when you are dealing with these sensitive data.
Giving your staff a pay-rise isn’t always the most cost-effective way to keep them happy and motivated. There are tax-free alternatives, which have the added benefit of simplifying tax and payroll processes. For example, paying travel expenses or providing your staff with a new laptop are great ways to avoid changing tax-codes whilst offering more tangible rewards.
Employing someone to run your business’ payroll in-house may not be a viable option for you. However, help is at hand. Outsourcing part – or all – of your business’ payroll requirements is a great way to ensure it is dealt with in the most efficient and cost-effective manner. Not only does this give you more time to run and grow your business, it ensures vital payroll procedures are in place.