The more variables involved in your payroll, the more it makes sense to use payroll outsourcing. Payroll service companies can calculate payroll, adhere to the latest SARS/Tax legislations, print and deliver reports and provide any service that an in-house payroll department can provide – and more!.
potential savings, cost is not the primary reason why most firms make the
payroll-outsourcing leap. Rather, they want to get rid of the hassle of internal
processing. Often, it's only after they begin using a payroll service that they
realize that they are saving money.
Ask yourself the following questions.
Can you handle the calculations and details of your payroll with complete confidence that it is precise, timely, and accurate?
Do you understand all of the details related to filing your payroll taxes as a company and for each of your employees?
Do you have an automated payment system or a system in place that will issue payments effectively and on schedule?
Do you have the time and staff to verify the accuracy of all these operations?
Do you have sufficient internal audit procedures to prevent payroll fraud?
Do you have back-up staff in place if your administrator is ill or on leave?
Have you calculated your indirect cost for payroll administration ie. Stationery, bank charges, consulting fees, training fees etc.
Do you keep up to date with industrial councils and labour union requirements and legislation?
Eliminate time consuming payroll data capturing.
IRP5 stress, something of the passed.
Full adherence to current Tax legislation.
Prevent internal fraud.
100% security regarding cash transfers.
Professionalism and efficiency will eliminate payroll queries.
Allows your company to focus on core company objectives.
Effective SARS administration and liaison.
Eliminate SARS late payment penalties.
A previous cost centre will become a value added service.
Tailored solutions for companies of all sizes.
Guaranteed confidentiality of information.
· Preparing the payroll including the processing of overtime, loans, bonus schedules, advances,
travel claims, retrenchments, directors fees, etc.
· Processing changes in banking details of individual employees.
· Processing changes in advised payments.
· Processing leave encashments.
· Processing the restructured benefit selections of employees, due to ad hoc salary increases,
promotions, changes in medical aid, etc.
· Processing employees’ annual, sick, compassionate and other leave days taken.
· Processing the retirement funding income to reflect on the annual IRP5s.
· Obtaining approval from management for the payroll and managements’ authorisation for the
total salary cost each month.
· Advising Management of the total salary cost to be deposited in the bank account.
· Preparing an electronic transfer file for employees’ net salaries.
· Submission of electronic UIF declaration file to UIF Commissioner.
· Preparing a schedule to advise Management of the amounts due for statutory payments
(PAYE, SDL, UIF and RSC) and other third party payments (e.g. medical aids, retirement
funds, garnishee orders, etc.).
· Providing you with the various payroll reports as agreed on during the set-up phase.
By default reports are password protected and e-mailed to Management
· In the event that printed payslips are to be couriered, reports will be exported on CD
and couriered with the printed payslips).
· Submission of the annual tax reconciliation and return form (IRP501to SARS).
· Printing of 2 sets (Company and Employee copies) of IRP5’s on hard copy.
· Completion of the Occupational Injuries and Diseases (OID) return.
· Extensive payroll back up procedures performed
Monthly processing charges are calculated based on a variable table. The monthly charge per customer will differ depending on the amount of employees each customer requires on the payroll per pay frequency.
Setting up of a new payroll on the payroll system will be charged at R 250.00 per hour, or part thereof.
Set-up charges include the following services:
· Set-up of the company’s payroll for Management.
· Manually capturing master file information and year to date figures from summary
· documentation supplied by Management.
· Setting up and/or adjusting payroll parameters to ensure compliance with the Income Tax Act.
· Adjusting salary structures year to date to agree with the adjusted payroll parameters.
· Agreeing the payroll parameters to the various company policies.
· Confirming non-financial data converted to our internal payroll system from your internal
· System to ensure completeness and accuracy.
· Confirming all loan balances with Management.
· Confirming all garnishee order balances with Management.
· Attending to your specified requirements with regards to payslips and reports.
· Obtaining managements’ approval of all of the above take-on payroll information prior to
· commencing any live runs.
In the event that Management requires printed payslips to be couriered to the premises of their choice these charges will be levied at appropriate traveling rates.
In the event that Management requires payroll to supply printed payslips on pre-printed stationary, a charge of 50c per payslip will be levied. By default payslips will be password protected and e-mailed to Management.