Payroll providers differ in the level of service they provide and the way they deliver it. There are two broad categories: Full-service payroll providers & DIY payroll providers. A full-service payroll provider manages their clients’ payroll from start to finish – all they have to do is supply them with the business and employee data. They look after everything else. On the other hand, many providers do the most challenging parts of payroll while leaving primary admin to the client. For example, the client might record time and attendance and keep employee records.

A growing number of organisations globally are investing in building a comprehensive payroll strategy. Creating and documenting an organisation-wide formal payroll strategy is essential to reduce risk, increase compliance, and create a leading operational model. Payroll outsourcing frees up much time for core business and reduces the need for training in-house payroll staff. In addition, it eliminates the expense of buying and maintaining a costly payroll system.

Moving to an outsourced model is essential for businesses aiming to make the maximum profits from payroll in the post-pandemic world. It is a straightforward way to turn a low-margin service into something that churns a profit while also minimising the time you spend on it and the investment you need in software and hiring specialist staff.