Manual payroll is holding your recruitment business back – here’s how
It’s easy to keep doing things the way they have always been done, if you think they aren’t causing any issues. What happens though, when the way you have always done things has hidden costs?
Manual processes could be the biggest silent killer of recruitment businesses today, particularly when it comes to candidate payroll and client invoicing. No matter if you’re using spreadsheets, basic software or even pen and paper – manual payroll can be fraught with inconsistencies, mistakes and stop your payroll staff adding value to your business. That’s not to mention the money it costs your business to re-run incorrect candidate payroll and client invoicing, the damage to your brand in the market or even the compliance risk.
Did you know manual payroll can get your business in hot water?
Manual processing of payroll means that the responsibility of maintaining proper processes is solely in the heads and hands of the payroll team, rather than through automated processes. This can put your business at risk when it comes to audits – which can be internal, external, or mandated by governmental bodies. These audits ensure that businesses are satisfying obligations when it comes to payment of wages, salaries and the collection and provision of annual returns and statements. By having a manual system in place, rather than automated systems, you put extra pressure on your payroll team to maintain, file and store these records in a way that can be easily accessed at any time, should an audit be required/ordered.
Do you have the time?
If you have to adhere to multiple pay conditions or allowances for different types of workers, then all these need to be accounted for when manually processing payroll. This can multiply the time spent on payroll by your back office team – as everything needs to be cross-referenced, thoroughly checked and re-checked, in order to eliminate any chances of errors. This can create unnecessary stress and time pressures on your payroll team, that can mean your payroll processes take days, not minutes.
What’s your plan for your payroll future?
When it comes to manual payroll systems, a lot of the time the information lives entirely in the payroll team’s heads. This creates critical issues when it comes to absences, whether it be a member of the payroll team being unavailable on payroll day, or even worse, leaving the business. Whilst it may seem simple enough to transfer this knowledge to other people, the reality is that knowledge isn’t always seamlessly passed on – which can create issues down the track, affecting payroll and client invoicing – potentially bringing your cashflow to a standstill.
So, what does a good payroll software solution look like?
With more and more businesses embracing cloud-hosted automated payroll software in order to maximise efficiencies, it’s important to understand what makes up a good payroll solution.
A good payroll system should save you time and energy, and FastTrack360 does exactly that. By creating your own automated timesheet approval workflow and seamlessly translating into candidate payroll against multiple complicated pay conditions, you can save up to 85% of your time, allowing your payroll team to help reduce debtor days and improve your cash flow.
The FastTrack360 Back Office platform removes 90% of payroll errors, and with over 300 million payroll hours processed annually. Furthermore, the platform helps you improve recruitment payroll accuracy, with seamless dataflow from client engagement and placement to online timesheet approvals, paying candidates and billing clients.