5 Reasons to Switch from Outsourced Payroll to In-House
Are increased government requirements combined with escalating employee compliance driving your HR and Payroll costs and administration time out of control? We have many customers who rely on Microsoft Dynamics GP to connect many of the moving parts of their organization – but have you taken a look at how you can leverage your Dynamics GP investment to save time and money on your workforce management.
Payroll services versus in house processing?
More and more small and medium sized businesses have opted to move payroll processing from an outsourced solution to an in-house solution using Microsoft Dynamics GP. Here are a few reasons why:
Catch Payroll Errors Before Paychecks go to Employees
One of the downsides of using outsourced payroll providers is that errors are often detected after checks have gone out to employees. A big advantage of using Microsoft Dynamics GP Payroll is that the gross pay and net wages of every employee are easy to review in detail before checks are printed or direct deposits are calculated. With Dynamics GP Payroll, errors can be fixed during payroll processing instead of cleaning up afterwards in the general ledger.
Easily Record Payroll Adjustments
So, you just learned that an employee should have been given a raise two months ago? Microsoft Dynamics GP Payroll allows a quick way to correct mistakes by providing an easy-to-use Retroactive Pay Management feature. There’s no need to make corrections in multiple systems since Dynamics GP Payroll will post through to your Dynamics GP Financial module.
Flexibility for Specialized Payroll Requirements
Many outsourced payroll companies cannot provide enough flexibility for customers who have special payroll requirements, such as advanced cost allocations and reporting needs. An in-house solution such as Microsoft Dynamics GP Payroll provides a great deal of flexibility. Dynamics GP reports are customizable and products such as SmartList Builder and SQL Server Reporting Services reports expand the possibility of customized reports even further. In addition, Dynamics GP Payroll can be configured to allocate costs in considerable detail.
Confidential Payroll Data is Kept In-House
Many businesses simply feel more comfortable using an in-house payroll solution because of the sensitivity of payroll data. Using an in-house solution allows businesses to keep personal data such as social security numbers and salary information completely internal. Also, Microsoft Dynamics GP version 10.0 and later uses a “pessimistic” security model, so even GP users have no access to Payroll data unless they are granted a security role that includes payroll screens and reports. In-house payroll allows businesses to determine exactly who can and cannot view their own private payroll data.
Simplified Payroll Processing and Integration with Financials
Once Microsoft Dynamics GP is configured to a business’s specific payroll requirements, processing payroll is generally straight forward. Many businesses have realized that the claimed “cost savings” of using an outsourced payroll solution just aren’t there, particularly as fees from outsourced payroll companies continue to rise. This is especially true for custom report requirements. In addition, once payroll is posted in Microsoft Dynamics GP, the Payroll module data automatically posts through to the Financials module. The fully integrated nature of Microsoft Dynamics GP often results in significant cost savings to businesses.