Outsourced vs. In-house Payroll - Lower Your Costs with Microsoft Dynamics GP Payroll - ERP Cloud Blog
 
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Ken Jacobsen, The TM Group

Outsourced vs. In-house Payroll – Lower Your Costs with Microsoft Dynamics GP Payroll


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Does your business employ an outsourced payroll provider? Are you contemplating such a course? While it may seem like a good idea to relieve some of the burden on your staff, there are aspects to consider.

If you are like most business owners, you are probably considering ways to lessen the financial burden attached to quarterly and yearly tax filings. Or, perhaps you are searching for ways to streamline your overall business processes. What you may not realize is that payroll outsourcing is not the only option and maybe not even the best option available. In truth, outsourcing payroll may require that you spend more than is necessary.

In the past, outsourcing payroll may have made a lot of sense. Your outsourced payroll provider did a lot of the busywork for you (and charged you to do it.) By busywork, I’m referring to the mind numbing tasks such as printing forms, sending payments and following up to see that  all necessary documents have been filed on time.

Times have changed. These days, Microsoft Dynamics GP (whether on premise or in the cloud) has features that enable you to file your taxes while doing your payroll in-house.

Features now available include: online retrieval of direct deposit pay stubs, automatic check mailing, viewable and downloadable W2s for employees.  You can also set it to automatically mail the W2s for those who desire a hard copy.

You can see how these features can take the busywork out of tax preparation, but there are other noteworthy benefits of having your payroll done in-house with Microsoft Dynamics GP:

Cost

There is nothing so certain and recurring as taxes. Costs of outsourcing payroll and taxes go on indefinitely, year after year. On the other hand, Microsoft Dynamics GP Payroll software and implementation costs are incurred only in the first year of ownership. True, there are ongoing fees for on premise or in the cloud use, but those fees are a fraction of the cost of outsourcing each and every year.

Owning Your Data

When you invest in Microsoft Dynamics GP, either on premise or in the cloud, you are buying a software license that you own as opposed to paying for a service, which you are “renting.”  Because the payroll system belongs to your company, you also completely own the payroll data archived in the system. This means you can run any report or analysis you need at any time, and without any additional fees.

 Add-on Features

Microsoft Dynamics GP add-on modules are specifically designed for all types of business processes. For instance, you may need time clock management or project accounting tracking. These and many others are available within Microsoft Dynamics GP.

When you consider the costs, paying extra for outsourced payroll doesn’t always make good business sense. Your team is still responsible for managing the majority of the payroll process; the outsource service just takes the data you give them and completes the tax filing tasks.  With Microsoft Dynamics GP Payroll and Human Resources and its easy tax filing services and employee self-service portal, you now have a much more secure, customized and affordable option.

To learn more about Microsoft Dynamics GP and the Payroll and Human Resources module, contact TheTM Group.

by The TM Group

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