Small Business Payroll Problems and How to Overcome Them
Payroll is an integral part of organisations of any size but can prove especially demanding for small businesses. Here are some common payroll problems that small business owners often face, and how to overcome them.
Payroll errors and missed deadlines
It is vital for the wellbeing of your business to complete payroll accurately and on time. Any inaccuracies, such as under or overpaying employees, can be costly and time-consuming. As well as negatively impacting cash flow, payroll slip-ups can cause your staff to feel undervalued and lose confidence in the company. Sticking to pay deadlines is therefore hugely important for staff morale, as well as your credit rating.
Employing an outsourced financial department for payroll services reduces the risk of payroll errors and missed deadlines. Work with a reputable financial management company experienced at running payroll, such as Clear Vision, and you can hand over the responsibility, and the headache!
Payroll legislation compliance failure
Payroll compliance is a legal requirement, so failure to comply could result in prosecution. With laws and compliance requirements continually being updated it can be difficult for a small business without a dedicated legal department to keep up. A recent example is the General Data Protection Regulation (GDPR), which came into effect last month and heavily affects payroll due to the sensitive personal information involved.
You can ask for additional support with compliance from Clear Vision Financial Management, as this is one of the most popular small business services we offer.
Neglecting Payroll and Pension Schemes
As a UK employer, you are legally required to automatically enrol all eligible employees into a qualifying pension scheme. To some small business owners, this seems more like a chore than a benefit to employees. Though setting up a scheme can be demanding on your time as a small business owner, it mustn’t be overlooked.
However, with several steps to take when setting up a pension auto-enrolment plan and plenty of associated administration, small business owners may benefit from employing a reputable and experienced financial management company like Clear Vision to assist.
Clear Vision offers a host of Small Business Services to support your payroll function. If you are a small business owner looking for financial management services, our experienced and reputable team can help you with any payroll problems.