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Who Benefits From a Payroll Processing Partner?

payroll processing

Adopting a payroll processing partner makes payroll quick and painless. And it keeps HR, accountants, employees, and the government happy.

If people are the lifeblood of a company, then payroll is the heart.

From managing salary budgets to paying your employees, payroll departments have the critical responsibility of paying your workforce on time, making sure records are accurate, and ensuring processes are compliant with a raft of federal laws.

Whether your business is small or comprises hundreds of employees, payroll mistakes can be costly. From errors with payroll records to not paying an employee what they are due, any mistake in the link will cost you more than just time spent correcting it. The repercussions of non-compliance with legislation governing your payroll processes can be significant. Submitting incorrect employee details or paying taxes late, for example, could mean penalties.

The effects of a missed or miscalculated paycheck extend beyond the employer; it can often lead to a crisis for the affected employee. And with about 54% of Americans living paycheck to paycheck, a returned check or missed mortgage payment can kickstart a cycle of potentially crippling consequences for some people.

In addition, a missed payment (stemming from a missed or wrongly calculated paycheck) that shows up on someone’s credit report, for example, can directly affect their ability to buy a car, buy a house, or even rent an apartment.

When you consider the significance payday has for many people, it starts to sink in that the payroll experience is one of the most critical touchpoints between an employer and an employee. Outsourcing the work to a cloud-based payroll processing partner like NatPay can help you to avoid costly errors, calculate and submit tax payments on time, and, crucially, maintain employee trust.

payroll processing

Overall Benefits of a Payroll Processing Partner

Payroll and tax regulations can be complex, but with the right partner, you can gain access to expertise in legislation, regulations, privacy, and security in order to mitigate risks. You also have access to IT support, best-in-class hosting infrastructure, and software that you couldn’t afford otherwise.

You can detail exactly the services you want the third-party vendor to provide and be assured that it gets done, without having the time-consuming task of doing it yourself. With companies striving to stay ahead of the pack in an increasingly competitive climate, there’s a greater need for efficiencies, and many companies are beginning to realize the benefits of partnering with an experienced payroll services provider.

Cost Savings

Ironically, outsourcing your payroll processes means fewer workers on your payroll, translating into overhead savings that come with staff keep (hardware and software costs, office supplies, course and training fees). Additionally, outsourcing the work to professionals mitigates the risk of missed payments (and penalties) or not complying with amendments to the latest tax regulations.

Prioritizing Core Business

Allowing a payroll processing partner to take the reins frees up time for you and your employees to focus on other income-generating areas of your business, whether it be customer service, sales, or marketing.

Saving Time

Professionals eat, sleep, and breathe payroll processing. With their in-depth knowledge and experience, they can get the job done right, and in half the time you can.

Expert Access

Complex payroll tax issues in multiple jurisdictions? The experts have the knowledge and expertise to ensure compliance with all the local rules and regulations of your state.

Calculating Payroll Each Time Period

From tracking daily hours and calculating overtime to tax and retirement contribution deductions to the eventual approval and handoff that initiates the payroll process, your payment partner ensures nothing falls through the cracks.

Electronic Paystubs

Employees that require direct deposit need their net pay verified and processed electronically, and also need pay stubs that are securely stored online.

NatPay’s password-protected online paystubs (we introduced the first electronic pay stub in 2000) provide employees secure access to current and past pay information with 24/7 online access.

Easy Compliance for Human Resources

In addition to managing recruitment and selection, performance management, and learning and development functions, it can be extremely difficult for HR teams to stay on top of ever-changing labor, tax, immigration, anti-discrimination, and insurance laws.

Who has opted in for online W-2s? Who has opted out? Are all of the employees' details up to date? Did we get the latest forms and IRS information for the year?

NatPay’s online tax forms solution makes life easier for already stretched HR teams by taking over and eliminating the chance for human error by automating and streamlining the entire tax form process. NatPay's online W-2 solution further lightens the load of HR teams as employees can do a lot more themselves: update personal information, obtain free reprints, and set their own notification options.

Accurate Records for Accounting

When it comes to keeping financial and tax records, it is crucial that the accounting team accurately records these for future use. For bigger companies, this may involve generating reports for hiring and staffing projections. A payroll processing partner can help you take the load off your accounting team by keeping financial records organized and easily accessible in their payroll system.

Tax form calculations can be tedious at best and consume endless hours from your accounts team. A payroll processing partner has the skills and tools to quickly perform multiple calculations accurately to prepare and submit remittances to federal agencies.

A single payroll mistake can erode the trust employees have in their employer. In fact, just two payroll errors can have many people looking for a new job. And when negative pay issues show up on Glassdoor, the impact on your brand can be devastating. Partnering with a credible payroll processing entity eliminates this risk.

payroll processing

Ultimate Convenience for the Employees

Ultimately, you want to keep your employees happy and keep staff turnover rates low so it’s essential to leave no room for error.

Using the employee self-service features that come with NatPay’s intelligent software, you can get them to help you input data needed for payroll calculations and keep them satisfied with the knowledge that they have a say in their pay, so to speak. The self-service feature also allows them to receive their paystubs in a confidential and more secure manner—our unique and proprietary 3-tier server systems guarantee that all data is safe.

Employees love NatPay’s Direct Deposit Plus because it incorporates a simple, web-based interface with powerful features that no other direct deposit provider can match. So employees get paid on time every pay cycle.

NatPay also offers free marketing support to help you increase employee participation in the program.

Seamless Payroll Processing with NatPay

Migrating from traditional time tracking and payroll methods you’re used to may seem like a massive leap for your employees, but when all it takes is one or two mistakes to inflict serious reputational damage to your business, it’s clearly worth the effort to be in the secure hands of the experts who will make managing your payroll a breeze.

NatPay is the leading company to offer third-party processing of Direct Deposit for employee payroll, processing more than $115+ billion annually for 228,000+ ACH clients nationwide. Upload payroll files from any computer with internet access, and you'll be on your way with a better way to pay.

NatPay offers a comprehensive portfolio of payroll, HR, and financial solutions with services that help you focus on what matters—running your business.

Get in touch with our experts today to learn more about how all types of payments are processed accurately through NatPay’s secure, online systems and enjoy multiple timing options and full NACHA compliance.