Payroll is a fundamental part of the modern business, and the areas that it now encompasses are growing – from tax and more recently auto-enrolment; to childcare vouchers, apprenticeship levies and student loan deductions. This makes keeping it in check an increasingly time-consuming, but important, task and as a result many businesses look to external experts to handle the payroll process.
But are you getting the most out of your payroll expert and the process as a whole? We spoke to Rachel Impey, Payroll Manager at Bulley Davey, on why payroll is so important, and why establishing a strong relationship with your payroll expert could have real benefits:
“With the growth in the scope of payroll, the government has become increasingly stringent on enforcing compliance charges for those who report their payroll late or inaccurately. Depending on the size of your company this could begin at £400 a month for a late or inaccurate payroll report. Similarly, in the case of auto-enrolment, this could result in charges of £50 – £10,000 a day if you continuously fail to report.
“While understanding these compliance factors is crucial, there are actually a lot more benefits to having your payroll organised and handled by an external expert – most prominently of course is simply reassurance and peace of mind that you’re not going to have HMRC chasing you! However that reassurance also extends to knowing your reporting is being organised and analysed by people with the knowledge of each element, be it auto-enrolment or student-loans, as well as any changes to the law.
“Unfortunately many businesses, while being compliant, simply see payroll as standard practice and so don’t get the most out of the process. For this same reason some businesses will use bureaus to report their payroll – these are semi-automated services, with no single point of contact, and here is where many business owners could be missing an opportunity.
“At Bulley Davey, we believe that the relationship with your payroll expert is potentially the most trusted and long-standing relationship you’ll ever have. That’s why having this relationship be personal and human is beneficial – because a personal service ensures a quick response and in payroll those compliance charges are proof that quick turnaround is important.
“We are lucky at Bulley Davey to have a number of different disciplines and areas of expertise under one roof. This means that should we see, for example, the benefits of you having better management and oversight of your finances, then we can put you in touch with our wealth management team. This same process extends to cloud accounting, employer pensions and more.
“The way we work means having a single point of contact over time allows us to slowly and continuously be tailored to you and your business – what works for you? What doesn’t? – there is also a support network behind that contact who you get to know as well, which means you can rest knowing that should your contact be away, there is experienced cover who can help and understand the context of your business and situation.
“Having this network extends to proactively identifying problems and issues – which is where a bureau, for example, can often fall short. We can spot where there may be gaps, or anomalies based on previous reports; then call you and sort it straight away – allowing us to work well alongside your office management team, saving them time and you money in avoided HMRC charges!”
Click here for more information on Bulley Davey’s payroll services.