Today, over 4 million of us work flexibly, with the COVID-19 pandemic transforming forever how and where we do our jobs. The impact is positive, with a Bloomberg survey finding that 71% of managers found productivity wasn’t affected and, in some cases, has increased. Flexible working is changing how businesses manage, monitor and pay staff. Cloud-based payroll platforms provide the control businesses need to manage a remote workforce. While significant numbers of small businesses have already shifted to online payroll systems, many still struggle with spreadsheet and paper-based systems. Here’s why digital payroll is the future and how you can unlock the benefits for your business.
Instant information
Payroll software makes the hard work of managing paying employees easier. It automates each step of the payroll process, enabling you to set up regular pay, manage irregular pay, deduct taxes & allowances and keep accurate records to ensure you’re following the rules and regulations. Information is organised, stored and accessible to those who need it when they need it. One of the clearest benefits of online payroll software is that managers, leaders and business owners can access accurate information in real-time. Data can be used for monitoring, but it can also manage performance, and establish benchmarks, both internally and externally. The information isn’t just more accessible; it’s more accurate too. For example, a UK survey found that an incredible 94% of companies have made payroll processing errors. Cumulatively, these could cost millions. Online payroll systems are more efficient, automating many of the processes that traditionally were performed by a person. However, that doesn’t mean you need to do away with a payroll manager. Instead, they can focus on identifying and reducing errors.
Data security
Every business carries the burden of protecting data, and there’s nothing more important than personal financial information. Online payroll systems are designed with security protocols, such as two-factor authentication, that ensure only those who need access get it. Staff benefit from the increased transparency provided by online payroll software. Flexible and remote workers, particularly those whose hours change frequently, can track all the hours they’ve worked. In addition, unlike paper-based timesheets that can (and often do) go missing, an online timesheet can be safely stored for years.
Respond to regulations
Employees of all sizes are dealing with an increasing amount of red tape and regulation that online payroll software can simplify. Follow the rules and ensure all data is input correctly, and you’ll comply with all laws. HMRC demands that all payroll data is stored for at least three years (but advises keeping it for at least six years), which is simple using online payroll software. You can access historic records demanded by any regulator at the click of a button. Payroll software provides real-time information that ensures your business meets all its requirements to process and pay within acceptable timescales.
Make digital payroll a priority
We’ve documented the reasons why online payroll software can improve any business. But, for many cleaning companies, it comes down to the cost of paying for the software and implementing it. Digital payroll systems have a high return on investment, reducing errors and improving data security that can save significant sums. The data stored in systems can be analysed and transformed into insights. Managers can use the data to track productivity and profitability by site, or by employee and set future targets. Payroll software uses valuable data to drive improvements. The question isn’t should you invest in payroll software for your cleaning business, but whether you can afford not to.
