Why Outsourcing Isn't a Bad Word

In today’s business environment, the word “outsourcing” often elicits a collective groan. But outsourcing can be and is a good thing, particularly when it comes to online payroll processing. Take this quiz below to see if you should consider outsourcing your payroll processing.

• Is your day consumed with manually processing your payroll?

• Is it too difficult to keep up with federal, state and local payroll tax regulations?

• Do payroll errors crop up frequently, requiring you to reconcile and reissue paychecks?

• Do your employees want Direct Deposit?

• Have you incurred tax penalties or liens as a result of payroll errors?

• Have you filed taxes late?

• Is incorporating 401K deductions and other benefits into payroll becoming a burden?

• Are your accounting and HR records disorganized?

• Are paper trails and files eating up valuable office space?

• Do you forgo vacation or sick days, so payroll can get processed?

Even if you answered yes to just one of these questions, you could save time and money by outsourcing your payroll. Below are some of the reasons outsourcing your payroll can save you time, money and lots of headaches.

• Quick and secure. Electronic payroll processing streamlines your accounting and HR functions. Enter your payroll data and the online payroll software automatically will calculate, deduct, pay and file all federal, state and local taxes. It also records vacation and sick days.

• Tax-compliant. These programs ensure compliance because tax filing regulations are regularly updated by the payroll service. Moreover, companies like Columbia EDP are always available to provide knowledgeable, professional support to any tax-related questions you may have.

• Accurate. The Internal Revenue Service estimates that approximately 40 percent of small businesses processing their own payroll manually file inaccurate returns, resulting in fines. With online payroll processing, you get a safety net in the payroll processing firm and software, both reviewing and validating your entries.

• Direct Deposit. Payroll processing is performed electronically, quickly and securely. As a result, Direct Deposit is an enhanced feature of the service, ensuring that your employees get paid quickly.

• Seamless Integration. Since benefits are an integral part of payroll processing, they can be incorporate into your payroll seamlessly. Now, worker’s compensation, retirement plans, employee taxes and health insurance can automatically be deducted.

• Paperless. Electronic processing eliminates a backlog of paperwork. Payroll can be delivered via email from the payroll firm.

• Remote Processing. You don’t have to worry about leaving your employees in a lurch if you are out sick or on vacation. Electronic processing allows you to take care of payroll anytime.

• Confidentiality. And speaking of peace of mind, we know that confidentiality in processing your payroll is paramount. You can rest assured that each and every payroll cycle is processed through a secure system. What’s more, payroll is password-protected, so only designated individuals have access to the company’s payroll.

• Outsourcer doesn't take vacation/holidays. Even if you are on vacation or out sick, Columbia EDP is still working to ensure that your payroll is processed smoothly, accurately and on-time, every time. We are always available to assist you with your payroll questions and concerns.