Scope of work for outsourced salary calculation services:
See detailed description here
Benefits of using outsourced payroll services:
- Cost reduction: According to the calculation of HR management expert, in an enterprise, in addition to the personal operating expenses, it may also incur additional administrative costs by about 2.5 - 3 times of their monthly salary costs. Outsourcing the payroll service has a cost equivalent to that of a payroll employee. But in contrast, businesses do not have to spend money on training, benefits, annual salary increases, renting seats, computers for employees, investing in payroll software.
- Information security: Enterprises can keep salary information absolutely confidential for internal employees.
- Accurate and on time: Implementing policies, calculating and paying salary, bonus and benefits accurately and quickly to help businesses plan an effective budget.
- Save time, limit cost risks: Accurately and comprehensively implement procedures related to tax and compulsory insurance for businesses, helping businesses save time and reduce risks of wasting cost.
- Increase operational productivity: Help business executives focus fully on business development goals.
Limitations of using outsourced payroll services:
Besides the aforementioned benefits, outsourcing payroll services also has certain limitations. That is the matter of choosing a reputable service provider.
These companies must really understand the provisions of the Law on salary and bonus as well as administrative procedures. In addition, they must have a close relationship with government agencies such as Social Insurance, Health Insurance, and Labor Department ... for the salary calculation process to take place smoothly.
Not only that, these HR companies must be fully equipped with information security systems, software systems, server systems .... This will help businesses feel secure about payroll results as well as data security.