Business experts have long recommended endorsing and outsourcing non-core activities of the company. Non-core functions, while crucial, are not the profit center of the company and are not a mean of strategic differentiator that separates a company from its competitors.
Payroll, which most companies consider as non-core function, is a critical element of a business. However, you may find it challenging to maintain an error-free calculation while being compliant with hundreds of the country’s tax codes and payroll laws and regulations.
Hence, payroll outsourcing in Thailand can be beneficial for your company and business. In fact, many successful companies across the globe have opted for payroll outsourcing to boost their overall productivity. Here are the top three reasons why you should outsource your payroll.
Promote productivity and ensure regulation compliance
While payroll may not directly affect the company’s sales and profit, it is a critical function that can hurt business if not done correctly. But more importantly, payroll processing is a daunting and complicated task that sap internal time and may drive the company’s attention from its core functions.
Companies need to abide by the various, ever-changing laws and regulations in Thailand, which can consume a considerable amount of time to keep up with and comply. The legal accounting requirements the company needs to pay attention to include tax reporting, tax withholding, and remittance. Moreover, business owners need to understand the payroll system in Thailand, including wage and hour regulations.
By outsourcing payroll to professional payroll services in Thailand, companies can ensure compliance with government regulations, save time and focus on essential and core activities, such as increasing revenue and provide excellent customer service.
Get access to a wealth of expertise and technology
Another reason to outsource payroll is to get access to various knowledge and technology. While the company may hire a set of experienced accountants, they may have a limited skillset and resources. Professional payroll service providers, however, offer various services that can benefit the company.
Apart from the standard payroll and tax computation, some agencies provide extra value-added services, such as contractor service, contract creation, labour regulation compliance, health benefits, workers’ compensation expenses, and bookkeeping service.
In addition to expertise, most employers in Thailand nowadays rely more on technology to operate their business efficiently. As the company expands, employers will have increasing numbers of employee records to keep and require more reporting. Access to current technology that can make such ordeals convenience and will become an invaluable strength for the company’s scaling for growth.
Moreover, millennial employees are more prone to technology when handling their work and money, such as direct deposit and self-service option online. Companies that incorporate advanced technology into their system, including specific reports and payroll functions, will be at a competitive advantage.
Enhanced data security
Payroll is a complex operation with high-potential for risk. Even with reliable employees, in-house payroll is at risk of identity theft, embezzlement, and tampering for personal gain. Additionally, when it comes to payroll software, there is a risk of storing confidential data on a server with security flaws.
However, companies can get a secure haven for their confidential payroll data by outsourcing payroll to a reputable, trustworthy, experienced provider. Furthermore, along with redundant backups, a quality payroll service agency invests in state-of-the-art systems with cutting-edge encryption technology to store and safeguard sensitive data, providing better data security.
Choosing the best-outsourced payroll provider in Thailand
There are many companies offering payroll service in Thailand, each of which has a myriad of services and products. To pick the suitable one for your company, be sure to check on their price, reliability, trustworthiness, customer service, and years of operation. Identify what kind of services your company need and look for an agency offering such services, or you can search for a provider that provides a personalized plan based on your company’s specific needs.