At face value, it seems like a great idea.
I you’re a small business owner with just a few employees, you probably think that hiring a payroll specialist is an expense that you can avoid.
You feel that you can handle it yourself. You have the best intentions to keep your staff paid right and on time. What could go wrong, right?
Well, lots actually. Below are the reasons why you should stop doing your own payroll and business taxation.
It may affect productivity
If you don’t have a finance background, you’ll likely spend a substantial amount of time calculating employees’ work hours, computing for taxes and other deductions, creating payslips, processing, and filing.
And even if you do have a bit of a background in bookkeeping, are you sure you want to spend your precious time doing these tasks instead of focusing on the core aspects of your business?
You don’t need to study the ins and outs
Sure, you can learn about relevant tax adjustments and benefits procedures if you want to. But then again, you’d be spending more time educating yourself, not to mention the possibility of making costly mistakes.
A specialist, on the other hand, knows the ins and outs of taxes, overtimes, contributions, sales commissions, and bonuses. The bottom line is: another professional can do it better, and while they’re at it, you can get back to doing what you do best– like growing your business!
It may cost you more to do it yourself
One of the most common mistakes of small business owners is that they think they’re saving money by doing everything on their own. Remember, time is money– and as mentioned earlier, instead of dedicating your time doing tasks such as payroll, you can spend it more efficiently on business activities that drive profits and growth.
Also, if you get your payroll or taxation wrong or you fail to do it on time, you can get penalties which are not fun.
A Better Approach
If you think hiring a full-time in-house payroll staff is not practical, you can always come to us and let us take care of your payroll and taxation matters. Our team can not only help you with the practical side of business payroll, BAS and taxation but can provide you with strategies on making this more effective for your business.
Talk to our Concierge today about how we can make managing your business payroll and tax matters easier.