The Power of Outsourcing your Payroll

Managing payroll has become increasingly complex over the years, with employers having to keep up to date with the constant changes in guidance and regulations, which can be a daunting task for any business.

In 2022 research found that nearly 90% of businesses made payroll errors resulting in employees not being paid correctly or at the right time.

Outsourcing payroll comes with numerous advantages as well as freeing up time allowing employers to focus on core business activities.

Johnston Smillie provides Payroll Services to 350+ clients in Edinburgh, Lothians, Borders, Fife and further afield in Scotland.

Some of the key advantages of outsourcing payroll are:

Cost Savings – Save Money

One of the primary advantages to outsourcing payroll is cost savings. Maintaining in-house payroll can be a significant expense, including payroll software licences, hardware, salaries and staff training.

Time Efficiency – Save Time

Payroll processing involves numerous tasks that can be time consuming for businesses, some examples are:

• Calculating salaries can include various elements such as overtime, bonus payments and expenses
• Statutory payments such as, sick pay, maternity pay, shared paternity leave calculations and determining any recovery element due from HMRC
• Salary sacrifice arrangements
• Dealing with new starter and leaver details
• Compliance with the National Minimum and Living Wage
• Generating payroll reports, payslips, P45’s and P60’s
• Auto Enrolment and managing a workplace pension scheme
• Statutory reporting – Real time Information submissions
• Employment Allowance eligibility and reporting
• Dealing with HMRC regarding PAYE enquires
• Employee payroll/payslip queries

Compliance and Accuracy – Mitigate Your Risk

Payroll regulations are complex and subject to frequent change. An example of this is in the 2022/23 tax year the National Insurance rates changed three times. Failure to remain compliant can result in penalties, fines and legal issues. Outsourcing helps businesses stay compliant and reduces the risk of costly errors.

Data Security and Confidentiality – Protect Your Data

Payroll involves sensitive employee information. Protecting employee data is crucial to maintaining employee trust and complying with data protection regulations.

Scalability and Flexibility – Maintain Your Processes

Businesses often experience fluctuations in their workforce, especially during seasonal peaks or periods of growth. Outsourcing can maintain uninterrupted payroll processing and adapt to changes in requirements. Outsourcing eliminates the need for holiday cover and by outsourcing your payroll you can have peace of mind knowing your payroll processing will continue without interruption regardless of employee holidays or absences.

Client Recognitions

When considering outsourcing payroll, employers should be sure to choose a reputable and reliable provider that can meet the specific needs of their business.  At Johnston Smillie we have a dedicated payroll team who understand the key pressures businesses are facing and the potential impact of failing to comply with the many payroll and PAYE regulations.

What our clients say:

We have been clients of Johnston Smillie for 4 years and the service we have received has been nothing short of exemplary. We have complete confidence and trust in Johnston Smillie.

As a company, having JS look after our payroll is invaluable, they are a pleasure to do business with. In this fast-paced world where time equals money, Johnston Smillie has saved us both. We appreciate Johnston Smillie’s ability to maintain their efficiency and timeliness, while always being committed to personal and professional service.

We would absolutely recommend JS, they are extremely professional, courteous and efficient.

The personal service we receive is second to none, our payroll manager knows our companies needs and is always available to answer any queries we have.

Kimberley Black

Office Manager

Hestia Mechanical Building Services Limited

Dryden Aqua have used Johnston Smillie since 2020 when changes within our business meant we looked to outsource and consolidate our accounts and payroll functions. Since first contact, Ross, Julie and the team have been professional, friendly and responsive, no matter how simple or unusual our questions may be. Over the years we have moved other account functions to Johnston Smillie knowing that they would also be handled in the same manner we had become to trust and benefit from. I would not hesitate in recommending Johnston Smillie to others.

Jamie McBride

Operations Director

Dryden Aqua Ltd

To find out more about our payroll services and how we can provide a reliable and professional outsourced payroll service for your business, please contact Julie Hunter on 0131 317 7377 or email Julie.hunter@jsca.co.uk