5 Burdens Lifted Off your Back by Outsourcing Payroll

Posted by Cedric Joshua Martinez
Jun 10, 2020
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Outsourcing payroll

According to the Health & Safety Executive of the United Kingdom: “The main work factors causing work-related stress, depression or anxiety were workload pressures. These included tight deadlines, too much responsibility, and a lack of support.” Stress can have harmful effects on your health, especially if it’s something you feel on a daily basis. There is a way to relieve some of that stress, and that is by permanently removing one item from your to-do list: payroll management.

Payroll is a simple process on paper, but in practice, it can cause enough complications to leave you dazed and confused. Payroll guides give you the image that the process is a straight line; in reality, however, it’s more of a crooked squiggle with unexpected problems and mishaps as you travel from point A to point B.

Below, you will find five of the most common complications found in payroll - all of which can easily be avoided by outsourcing payroll.

1. Workload

No matter how often you process payroll, you will no longer have to worry about the forms, distribution, and the like anymore. It may not seem like much, but the payroll process is quite complicated, especially for those new to the procedure. You should be able to correctly classify your employees or distribute the proper amount with the right reductions and benefits. There are a lot of figures involved, and these only grow in number as the workforce grows in size. Outsourced payroll services take care of everything, making sure that not a single cent is in the wrong place.

2. Paper or Data Storage

Whether your payroll is traditional or paperless, your files need storage. While some countries have laws requiring business owners to keep their paperwork for at least two years, having quick access to your records can help you in the future. With the number of employees at your company and the amount of payroll rounds done yearly, you will no doubt have enough data to fill a room.

Related: 4 Reasons Why Your Payroll Process Should Be Cloud-based


Outsourcing your payroll means that your data is safely stored in their data banks. While you are free to access them at anytime, it is guarded by both physical and digital security measures. Outsourcing lets you save some space, whether in bytes or cubic meters, and keep your data protected from human and natural threats at the same time.

3. Deadlines

Payroll involves enough deadlines that you may need a separate calendar just to keep track of them alongside your other tasks. From tax due dates to distribution of pay, failure in punctuality will result in a myriad of consequences. You can avoid these penalties by letting an outsourcing company meet these deadlines for you. Do note, however, that sometimes there are deadlines that outsourcing companies can’t accomplish without your assistance. They may need some forms from you or signatures that they would never be able to obtain without your permission.

4. Government Actions

Some of the penalties mentioned above are enforced by the government to ensure that you have a law-abiding company. Garnishments are an example of what could happen to you if you’re not careful with payroll. Simply put, this is an order that forces you to pay for an employee that cannot afford reparations, debts, and other money-related concerns. Simply forgetting to pay your business payroll taxes can double the cost immediately.

With payroll outsourcing, you won’t have to worry about breaking any laws or incurring any penalties because your partner should know your country’s laws inside and out. They will know every important detail of payroll and will advise you if you have any doubts or questions.

5. Mistakes

You can avoid mistakes as much as possible, but it will create an even greater burden for you when or if they do happen. Other than the government actions stated above, you could be facing a lot of other problems due to mistakes: angry employees, lost money, redoing the entire process, and many others.

You may think that outsourcing will make no difference, but you would be happy to know that these companies have trained professionals and experts that ensure that every process is running smoothly and without a hitch.

Read Next: 4 SMB Headaches Solved by Payroll Outsourcing


Lift these five burdens off your shoulders now by asking for a helping hand. D&V Philippines can be that and much more. We won’t just help you carry it, we’ll lift it off your shoulders and carry it ourselves, as you move towards your business goals without anything weighing you down. Contact us today!

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First published on 2016 Aug 18; updated on 2020 June 10

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