The accounting and payroll function is critical in any business even though it is not really a core part of the business. Small businesses that try to keep this critical function in-house have to cope with the ever changing regulations and controls. Most of them fail to estimate the true cost of processing, as they don’t account for the hours and resources allocated to paying employees and maintaining the payroll paperwork.
Keeping accounting and small business payroll in house also opens up the business to a number of new concerns, such as the changes in tax legislation, and recruitment and training of staff properly equipped to handle the changes. There is also the consideration of confidentiality of data.
This is why many small businesses rely on external professionals like Accounting Taxes Payroll Partners, one of the top Los Angeles accounting firms, to take care of their payroll functions.
Benefits of outsourcing payroll functions
- You are guaranteed proper compliance to legislative demands
- Costs can be controlled and reduced
- You are guaranteed confidentiality of sensitive information
- You get to work with thorough professionals thereby enjoying peace of mind
- You will have time to focus on more pressing, growth areas of the business
Here is more on why you need to outsource your payroll function.
Choosing the right firm
As soon as you decide to choose an accounting and payroll firm (here you can find a list with the top payroll services in 2018), the first step to take is choosing a company that can handle the demands of your business. Of course, at the minimum you should consider the experience level of the firm, cost and value of service, and customer service support.
To choose the right firm, you have to find out the ‘business vitals’. Here is a look at some of the questions you can ask to help you in this regard.
- Ask how long the accounting firm has been in business. Experience is important if you are after the best results.
- Ask if the company is already serving another business in the same sector as you. This is a great way to judge experience.
- Ask how often tax tables will be updated to ensure compliance.
- Find out what customer support channels are open to you in the event of any queries or complaints.
- Ask what the firms plans are for monitoring and tracking.
- Ask how the firm intends to handle your business when it grows beyond its present level.
- Find out the company’s fees and contract policies.
Here is more on choosing the right payroll service.
Bear in mind that accounting and payroll functions are vital in running a business so you need to take absolute care in your choice, and be sure you are working with a capable firm. Avoid at all costs the mistake of sacrificing competency to save some money!