Benefits of Outsourcing Payroll Services in the Philippines

Published on May 1, 2021 – Posted by: BAIVI Admin

Let’s face it: The quality of work rendered by your employee depends on how happy they are. If you’re paying them correctly and on time, they tend to be more productive at work.

That’s why getting competent and reliable payroll management services can save your company resources and time.

When you have someone or a team managing this task for you, you would be able to focus on your business’s core operations. You can improve your company to make enough profit to continue.

Therefore, it’s always best to let the professionals take care of time-consuming tasks on your behalf.

However, your decision would still depend on your organization’s current situation as well as the resources available.

1. No more worrying about deadlines

There are many areas in your business requiring your full attention, which means it’s beneficial if you let experts handle your payroll.

With someone taking care of this task on your behalf, you no longer have to worry if you’re paying your employees on time. And, of course, you don’t have to bother yourself with hundreds of government regulations and complicated tax codes.

2. Reduce overhead costs

When it comes to business, time = money. This means you have to carefully plan on which tasks you need to spend more time on.

If you handle your company’s payroll department yourself, you’d be wasting hours instead of using them to generate more income for your business.

Removing this task from your full plate could make so much difference. Not to mention you’d also be reducing overhead costs.

3. Get a reliable support team

In managing a company, you have to be ready for emergencies. If something unexpected happens at the last minute, it’d be best to have a reliable outsourcing company that’s willing to help you anytime.

With an outsourced team, you can remove the pressure from your in-house staff. They’d no longer need to work overtime to resolve any emergency issues.

4. Have a better data security

Data security has been a huge issue — and everyone has seen that these past years.

If you choose to have an in-house payroll staff, you will increase your vulnerability to various security risks.

The people handling the payroll can have access to your employees’ records. And the worst-case scenario is they may tamper with those records. Moreover, your business will be at risk for embezzlement.

Aside from these potential dangers, an in-house payroll system requires a significant investment. You’d need highly secure networks and servers, which can cost you loads of money.

On the other hand, outsourcing payroll services can ensure that financial data and sensitive information are kept safe. Payroll companies are even using reliable back-ups and cutting-edge technology.

5. Enjoy peace of mind

Miscalculation and late payment of salaries can cause lots of problems. Even a single mistake can cause stressful audits and hefty penalties.

With payroll services, you don’t have to spend a tremendous amount of money on securing your data, and you don’t have to waste valuable time learning complicated tax laws.

You can sleep well at night knowing qualified and highly trained experts will take care of everything for you.

Different payroll options in the Philippines are well aware of the following tax figures:

Employees
20% to 35% based on the individual income tax rate

Withholding tax on compensation should be paid on the following schedules:

• For manual/bank payment: on or before the 10th of the following month
• For eFPS payment: on before the 15th of the following month

If you want to save time and money, managing payroll in the Philippines through outsourcing payroll services would be the best decision.