Certain employment tasks are simply tedious and too detail-oriented for the typical small business owner to make time for, and hiring an entire HR staff for it can end up costing more than you may think. The typical HR manager salary is around $80,000 per year, making it well out of reach for startups or even well-established small businesses. Outsourcing gives you all the benefits of a full-time HR staff without the cost and can ease your mind when it comes to things like payroll and reporting. Here are five employment tasks worth outsourcing.
1. The Onboarding Process
Hiring new employees can be a challenge, especially in a world of online applications, remote workers, and ever-increasing competition. If you’re tired of going through hundreds of applications per week only to find that you’re no closer to a qualified candidate than before, outsourcing your onboarding process is probably the best step to take to start attracting qualified candidates.
Onboarding involves plenty of set up as well. There’s paperwork, reporting to the government, and, of course, getting your new employee acclimated to the new work environment and culture of your company. The process will be handled by your PEO firm, and your employees will be of a higher quality and feel more welcomed with a focused onboarding process.
2. Benefits and Payroll
Many small businesses don’t have access to great benefits packages, which makes a PEO service a great ally to have when it comes to attracting good candidates and fostering trust and loyalty among your current employees. PEO services have access to some pretty competitive benefits packages, which can take your small business to the next level and make it all the more competitive in the hiring market.
PEO services will also handle the payroll side of things, including direct deposit, taxes, and more. Payroll is incredibly important to your business, and getting it right can literally mean the difference between keeping good employees and losing them. After all, no one likes when their money is hindered or tampered with. You could end up with much more than an unhappy employee should you fall out of compliance and forget to follow payroll taxes.
A PEO service will handle all of your payroll needs, so you can rest at ease knowing that your employees are being paid correctly and on time every time.
Compliance reporting requires that your business report to certain organizations, whether they be private or governmental, to ensure you’re maintaining standards for your workplace and following any regulations that are relevant to your industry. Reporting means frequent internal audits, which can become burdensome to a growing business. They’re time-consuming but are a necessity and must be completed on time. Your PEO service will handle all of your reporting, and ensure that your audits are always accurate and punctual.
A missed report can land your business in hot water, and sometimes, it’s even accompanied by monetary fines or other penalties. Finding the best PEO service is easy if you know where to look; Retireat21.com has a list of the best PEO companies across the country if you need assistance.
4. Risk Management
Assessing the potential for risk in your business, identifying existing risks, and creating a plan to minimize it across all aspects of the company can not only make the workplace safer, more secure, and a happier place to be, but can also save you money and trouble down the road. Companies participate in risk management to prevent injury and monetary loss, among other things, but this isn’t always an area of expertise for every business owner.
Trusting your PEO service to handle risk management will give you an upper hand in the process. PEO services will be able to dedicate much more time to risk management than you might be able to, making for a more thorough and effective process overall. The better your risk management services are, the better off the business will be as a whole. Don’t take a chance on poor risk management, or you’ll pay for it later one way or another.
Does the mere thought of filing payroll or other taxes make you shudder? For most business owners, it’s about as entertaining as watching paint dry, so outsourcing it only makes sense. Not only will a PEO service be able to handle your taxes with accuracy and punctuality, but they’ll also help you stay in compliance and avoid fees and penalties.
If meeting deadlines isn’t your thing, or you’re just having trouble keeping up with all of the government’s tax requirements for businesses, hiring a PEO service can take the burden off of you and ensure that every report that gets filed is as accurate as possible. Leave it to the PEO service, and instead, focus on growing your business!