Payroll companies

fiscalfreckles

Sorry to butt in on this thread, but also considering outsourcing payroll for a new business with 5 employees. (None of whom can realistically do it for us - we have looked at training someone up to do it internally but at first everyone is going to be very overworked anyway.)
We too have rejected our accountant's offer to do it as the rate is so high, but can anyone give me an idea how mauch a payroll service would/ought to be charging?
Thanks.

Mudd14

Without trying to sell myself I do payroll for companies and did alot of market research into costing of competitors. For 5 employees I wouldnt pay over £15.00 per pay process.

Hope that helps

fiscalfreckles

Mudd14 wrote: »

Without trying to sell myself I do payroll for companies and did alot of market research into costing of competitors. For 5 employees I wouldnt pay over £15.00 per pay process.

Hope that helps

Thank you, but can you clarify what you mean by "pay process"?

Mudd14

Depending on the frequency of pay ie £15.00 per week, fortnight, 4 week, month, annual payroll.

fiscalfreckles

Mudd14 wrote: »

Depending on the frequency of pay ie £15.00 per week, fortnight, 4 week, month, annual payroll.

Thank you!

Seanymph

The new way from the PAYE is to download the software;

http://www.businesslink.gov.uk/bdotg/action/layer?topicId=1086857322

you run your salary through there that does all the calculations/deductions for you. you sign up online and the software interfaces with the IR and submits all your forms - AND it does your end of year automatically.

There really is no excuse for paying someone to do something you can do so easily.

The IR is a frightening beast, but they want you to do it right - there are free courses, helpline numbers, people to advise - free software which is simple to use - and a system that does most of it for you.

You input the wage figure in money, and have to send of a chque once a month to cover deductions. Simples

Mudd14

I think what you pay someone else for is that expertise and time of running it for you. You can go on courses that teach you how to calculate tax and ni manually but its all your time that you could concentrate on your business elsewhere, some people think for the sake of £10-£15 it is money well spent on a task that can take up your valuable time. The expertise comes in when you get complex tax calculations that you do not have the knowledge to do yourself or have the time to self train.

Of course if you have the time there is no reason why not to do it yourself.

Seanymph

Using the software takes me less than 10 minutes to run a payroll of seven people. Truly, they have made it as easy as possible.

Mudd14

But if there was an error on ther software or you had to recalculate something would you know what the software had done and how to correct it manually? Thats where the expertise comes in.

Its unlikely but does happen.

Seanymph

as it's the revenue software generally all updates download automatically - and if you have something you don't understand or it comes up error there is an internet helpdesk that will talk you through.

I don't know of any errors on this software so far - it's only been in use two weeks......... and the discs before never caused an error for anyone I know.

I guess it's different if you are using a private companies software - but if you use the official IR software to run your PAYE then I doubt it would cause too much of an issue.