How Small Businesses Can Save Money on Payroll

There’s one key fact that all small business owners should know: the average cost for a typical company to run payroll in-house is almost 1.5x the hourly wage of your employees! In fact, most businesses throughout the United States spend almost 30% of their revenue on payroll each year. This cost includes tracking and providing payroll services for hourly employees, staying on top of and applying relevant and new tax laws to your HR policies, catching and addressing potentially expensive reporting errors, and more.  

If your company is looking to cut costs and recoup some of that lost revenue, there’s no better place to start than by outsourcing your payroll.   

Saving on the Cost of Payroll Can Greatly Help Your Company

Small businesses know better than anyone how important it is to maximize efficiency and productivity. With that in mind, consider how much of your team’s week is tied up with regular payroll tasks, such as filing and maintaining tax forms, tracking employee hours and labor costs, and following up on any analytical needs. Every one of those tasks takes away money and time that could be spent improving or doubling down on other key aspects of your business! By outsourcing your payroll needs to a professional provider like Horizon, you can cut down on the hours your employees spend on these tasks and put your team to far better use. 

Outsourcing Payroll Brings Many Benefits to a Small Business

For most businesses, handling payroll in-house is inefficient, time-consuming, and a waste of your team’s limited resources. Outsourcing payroll and other HR tasks not only frees up your team to focus on more critical tasks, but it also reduces the chance of payroll errors related to taxes, employee benefits, pay periods, and more!  

Working with a trusted payroll provider is an excellent way to cut your payroll expenses loose while taking full advantage of modern, automated systems that can eliminate costly errors, provide more actionable data, and ensure your HR needs are being handled across the board. Let’s dive into some more benefits down below. 

Reduce Time Spent Running Payroll Processes

One of the main benefits of outsourcing payroll is reducing or eliminating the amount of time your team spends on the payroll process each pay period. Time spent on filing, tracking, and posting payroll is one of the largest contributors to payroll costs for most organizations, so outsourcing these tasks is an excellent way to cut down on these costs. A trusted payroll provider can effectively and efficiently track and process employee hours, overtime pay, PTO, and other key data on your schedule, with minimal oversight required! This enables your team to pivot and focus on building your business with zero distractions or busy work. 

Automate Tax Filings and Compliance

Combined fees and fines for negligence relating to tax compliance can cost small businesses across the United States millions of dollars a year! Fortunately, these fines are completely avoidable, as long your business stays aware of and maintains complete compliance with every current, changing, or new tax law and regulation that applies to your organization.  

By outsourcing your payroll taxes and compliance monitoring to a trusted provider, you eliminate some of the key risks associated with managing payroll, including failing to adhere to federal income tax laws, tax withholdings regulations, tracking FICA taxes, and more, all while ensuring your tax obligations are met each year. 

Peace of Mind with Reduced Payroll Errors

Every year, business owners can – and should – strive to avoid payroll errors of any kind. Not only can they lead to expensive fines and fees, but studies have shown that few things cause a drop in employee satisfaction like missed pay periods, incorrect pay statements, and other errors. Unfortunately, these errors can happen, especially when your team is in charge of payroll and other responsibilities. With a trusted payroll provider, your data is the priority, and you can rest easy knowing that you won’t have to worry about an incorrect pay stub or a surprise legal fee in the long run.  

Enhanced Reporting and Analytics

Retaining and being able to analyze extensive amounts of data relating to employee performance, productivity, and more is a key part of running a successful business. Dedicated software provided by a trusted payroll partner can offer a thorough and in-depth way to track, report, and examine key data points related to your business, from onboarding statistics for new hires to performance metrics for your team and more. As a bonus, this type of software can be easily integrated with payroll and tax information for a complete overview of your team! 

Automated Software Can Provide Even More Advantages

Automated payroll software helps to take the guesswork and doubt out of payroll management and includes plenty of other benefits for your small business. Not only can automated software make payroll and tax processing a breeze, but it can also help effectively manage and track employee benefits, such as health insurance, retirement plans, and other perks you offer your team, all in one convenient space!  

Horizon Provides Top-Rated Payroll and HR Services

If you’re interested in partnering with a payroll company that can reduce your operating costs, renew your team’s focus, and provide unmatched support for your HR needs, look no further than Horizon. For more than twenty years, we’ve been providing our leading brand of top-rated payroll and HR services to help small businesses cut through the paperwork backlog and get back to focusing on what matters most! Our scalable and customizable solutions are adaptable to any niche or industry and can match your goals, whatever they may look like.    

Trusted Payroll Solutions for Businesses of All Kinds

As a trusted payroll provider, our top-rated services are designed to be comprehensive and adaptable. We offer a tailored range of payroll solutions that can accommodate employers and business models of all kinds, with a specialty in helping small businesses automate their processes, reduce their operating costs, and free up their staff to focus on growth and development! 

Experts in the Industry for Over Two Decades

Our payroll management team has been working with businesses of every size and across nearly every industry for more than two decades. We bring our experience to the forefront when we work with you to identify your payroll needs and develop a solution tailored specifically to your business.  

Integrated Payroll Service for the Modern Workplace

Our automated payroll software can help bring your payroll system into the modern era! We offer a cutting-edge integrated payroll service that includes automated payroll processing, timesheet management, audit tracking, and more. Plus, top-of-the-line security and administrative features ensure that your data belongs to you and can only be accessed by the right people.  

Tailoring Our Solutions for Your Small Business

Our goal as your trusted payroll partner is to meet and exceed your unique payroll needs. Whether it’s tracking employee wages, maintaining and processing tax filings, processing payroll according to your payroll schedule, or any other of our top-rated solutions, we work with you to provide everything that you need! 

Direct Deposit, Self-Service, and Cloud-Based Payroll

At Horizon, we’re all about putting the power in your hands. Our comprehensive payroll solutions include offerings for direct deposit setup and maintenance, so your team can skip the paper checks and receive their weekly pay directly into their bank account with no fuss. We also offer other online payroll services, including self-service portals that enable your team to stay in the loop regarding their pay and benefits while they track their time, and cloud-based payroll to offer enhanced security and accessibility for your staff.   

FAQs About Our Payroll Services

If your organization hasn’t worked with a trusted partner to handle your payroll services, there might be some uncertainties about the process. While we strive to make our services as clear, transparent, and easy to implement as possible, you might still have questions before you decide that our services are the right fit for your business. Below are a couple of FAQs that our team at Horizon often receives.  

How Long Does It Take to Set Up Payroll with Horizon?

Once we identify your business needs and find a match for them within our comprehensive list of services, the time it takes to implement them will depend on a few factors, such as how large your organization is, what features you’re investing in, and how much of your data is already digitized and ready to be transferred. On average, most of our clients can be set up within 48 hours! 

Will My Business Be Saving Money with Outsourced Payroll?

The short answer is: absolutely. Small businesses spend a considerable amount of time, money, and other resources processing and managing payroll each year. Our services help make the process more efficient and more cost-effective than it would be to do it on your own, which translates directly to increased savings and a better end result throughout the year. 

Reach Out Today for More Information

To learn more about our top-rated payroll and HR management solutions for small businesses, contact us today!