5 reasons why it is worth outsourcing payroll regardless of company size and industry.
The tasks associated with payroll, such as the accurate fulfillment of salary payments on time and in accordance with the law or the correct submission of various official data services, do not belong to the core activities of an organization. That is why payroll is one of the most common areas of business process outsourcing, but choosing the right service provider is extremely important.
5 reasons why it is worth outsourcing payroll regardless of company size and industry:
- Scalable and flexible service
There is no need to deal with the fluctuation, leave, or absence of the payroll administrator. Is the number of employees increasing or decreasing? The service provider adapts flexibly to the amount of tasks, and always provides the high-level professional resources required to perform payroll.
NEXONtip: the alpha and omega of outsourced payroll is the service level agreement (SLA). Accurately record all tasks, duties, deadlines, and costs. In this way, performance will be clear and measurable.
- Reliable, safe and correct payroll
Not only the task, but also the responsibility belongs to the service provider. Correct payroll and accurate payment of wages are of critical importance in the operation of companies. Payroll administrators have to calculate the employees' income, taking allowances and deductions into account, according to extremely complex and often changing legislation. From the point of view of the business process of the outsourcing service provider, it is essential that it performs its tasks with employees with the highest knowledge and experience, as well as with software that complies with the legislation at all times.
NEXONtip: when choosing a service provider, make sure that it has liability insurance that covers damages resulting from possible faulty performance.
- Focus on strategic and business HR
Payroll requires significant resources. If you outsource it, more resources can be devoted to value-added HR activities and services (e.g. talent management, performance evaluation, retention). In this way, the role of HR is enhanced, and its operation appears as an added value to both managers and employees.
NEXONtip: choose a service provider that can provide many convenience functions and automated, paperless HR administration with a self-service HR application. This relieves HR even more and improves employee satisfaction.
- High-quality, audited IT security and operation
The IT background of payroll is of particular importance. The management of personal data, the long-term preservation of payroll data, the continuous updating and uninterrupted availability of the application require an IT infrastructure and a team of IT professionals that a significant number of companies do not have.
NEXONtip: one of the most important aspects of choosing a service provider should be the IT background audited by an independent expert.
- Calculable cost
The monthly fee flexibly follows the actual number of employees and the tasks specified in the service provider contract, so it appears as a precisely planable cost.
NEXONtip: when comparing the cost of outsourcing and in-house accounting, consider that you save not only the salary and ongoing training of payroll administrators, but also the license and tracking fees of the software, the costs of the IT infrastructure and operation, as well as fines resulting from mistakes made during payroll.
+1 NEXONtipp: choose NEXON as an outsourcing service provider
As part of its outsourced service, NEXON provides full-scale payroll and social security accounting, cafeteria, and HR and labor administration to 80,000 employees of more than 300 clients in Budapest and 5 regional service centers.
We prepare almost 1 million payrolls for small and large businesses from all industries every year, so we can safely say that a payroll task that has not happened to us does not exist.
Our customers' accounts are processed by a dedicated payroll expert or, in the case of a social security payment point, by a dedicated social security accountant. We also completely take the burden of social secirity audits off the shoulders of our partners.
The data security of our service and the traceability of the company's tasks in the service agreement (SLA) are ensured by our NEXONline communication portal, qualified by independent experts, which fully meets the requirements of the GDPR.
We carry out our activities with our own developed payroll and HR software, and we take full responsibility for our work. Our all-encompassing one-million-dollar one-time liability insurance makes payroll management processes risk-free for our customers.
Our customers who outsource their payroll do not have to give up NEXON's innovative HR solutions. Our task is also to operate the HR software, which we provide in the NEXON private cloud that meets the highest IT security standards.
The convenience functions of our self-service solution make our service likable for employees and managers, and increase the employee experience: they can access their HR data, attendance sheet, payslip, and cafeteria statement at any time via a web or mobile application. Completed with a digital signature, HR-related certificates and forms can be downloaded with the click of a button.
The fact that one of the largest international outsourcing providers in the world has chosen NEXON as its domestic partner is proof of the high level of quality of our service.
We don't just "do", we also teach the profession: through NEXON Academy courses, as an outsourced department of Kodolány University, and through the tasks of the National Payroll Championship.
Payroll is worth outsourcing. But it is a sensitive area, so the best service provider must be selected.
Get to know NEXON's service and contact us!
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