Outsourcing to Payroll Processing Services Singapore is a Solution for Small Businesses

payroll services Singapore

Appointing Payroll Processing Services Singapore

The payroll processing is a non-core activity for every business as it does not generate any revenue. However, it is important from the point of view of complying with the Employment Act of Singapore and healthy atmosphere at the workplace. The act holds every Singapore employer responsible for paying the salaries within a week at the end of the payment cycle. To do this time-consuming task properly, you need to assign competent resources to it. On the other hand, you can outsource it to the reliable payroll services Singapore.

Reasons for Appointing Payroll Processing Services Singapore

Today’s trend is to appoint payroll processing services Singapore. However, if you believe in doing it yourself, you must know that, in reality, it is not that difficult. You can do it yourself if you know accounting.

However, there are a lot of salary components involved in the process. Mistakes start creeping in the calculations as the fatigue sets in and concentration wavers. These can also be caused because you forgot to update yourself on the latest changes in the rules and regulations. They can also happen if you are using an absolute software.

Moreover, the time you need to invest in DIY payroll processing is huge and at the end you do not get any medals for doing it precisely. For a Small and Medium Enterprise (SME) owners, it is wise to outsource it to payroll processing services Singapore. By doing so, you get to benefit from the latest payroll software used by the service and the careful attention lavished on your Singapore payroll calculations by the professionals in the employ of the service.

Hiring payroll services in Singapore is also a good option for the small businesses having an in-house payroll activity. Your decision frees your employees who you can reassign for the core goals of the business.

A Typical Payroll Processing Task Involves Following Activities

Salary Calculation:

  • Capturing and updating employee details, allocating employee benefits, etc.

  • Calculating gross salaries as per the company pay cycle

  • Arriving at the net salaries after deduction of CDAC, CPF, MBMF, SINDA or ECF

  • Adding bonuses and similar payments into the net salary

Managing Employee Leaves:

  • Recording and keeping an accurate count of each employee’s leaves

  • Managing the leaves to maintain optimum workforce to keep the work going

  • Taking into account leaves without pay and other claims by employees

Preparing Employee Payslips:

  • Depositing paychecks to employees’ registered bank accounts using bank GIRO transfers

  • Preparing and sending electronic as well as hard copies of payslips to employees

Handling IR8A and IR21 Forms:

Preparing and filing taxes of employees according to the prescribed regulations and time limit

Choosing a Payroll Service Provider Singapore

When you start searching for a capable payroll service provider in Singapore, see to it that it offers what you want. If it is not the case, ask whether they can customize their service to meet your business requirements.

Bear in mind that the different business circumstances force the owners to look for different kinds of payroll services. You may hire an payroll consultant or outsource it to a good accounting services in Singapore. Consider your business’ budget and choose a payroll service after analyzing your needs so as to optimize your employee management and the mandatory statutory compliance.

A competent payroll service provider in Singapore will eliminate the stress of payroll compliance for you by doing it accurately. It will also keep your employees satisfied and will foster the feeling of appreciation among them. Most importantly, you will have plenty of time to focus on the core goals of your business and to stand up to competition in the market.

Follow MNC’s, Outsource to Accounting Services Singapore

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Outsourcing to Accounting Firms in Singapore

It is very reasonable to think that a small business owner remains occupied throughout the day. The fact is truer for the one-man-show business owners. One cannot expect these individuals to spend another couple of hours at the end of a hectic day to record every financial transaction of their business. For these individuals accounting services Singapore provide adequate assistance.

Advantages of Outsourcing to Accounting Firms in Singapore

Sooner or later small companies with a few or no employees need to take a decision about their accounting function. Since they cannot afford the luxury of appointing an in-house accountant to take care of the task, outsourcing to accounting services Singapore is an option open to them. However, not every one of the business owners likes to involve third-party firms and letting them have complete access to the business’ financial data.

Hiring Certified Professional Accountants (CPAs)

The business owners can also hire services of a freelancing individual, but, the Certified Professional Accountants (CPAs) in the employ of the accounting services stands out as the better option. These qualified professionals have industry-wide experience and are world-weary. They are in tune with the latest changes in the rules and regulations by the authorities and render in-depth services to their clients.

Cost Saving

Cost-wise, outsourcing of accounting services is very beneficial to the small and start-up businesses. It allows them to reduce their cost of compliance by more than half. By selecting a trusted accounting firm in Singapore, they can ensure accurate processing of their books of accounts.

Employing an Accountant

When you hire an accounting service, you as good as hire their accountant. However, you don’t have to worry about his or her leaves, holidays, benefits, CPF, etc. It also means that you do not have to advertise a vacancy, interview, hire, train, and fire your accountant.

So by appointing an accounting service in Singapore, you take a major step towards simplifying your management of human resource. Accounting services fees charged by these firms are affordable as they are based on the hourly rates or by the volume of transactions of the business.

Accounting is not the Core Goal

A business does not benefit by accurately doing its accounts. It is not a profit producing activity. So there is hardly any point in doing it in-house unless you want to have total control over the accounting process.

Outsourcing it frees your staff. You can assign them to the core task of the business to enhance your revenue and profit margin. The appointed accounting services also maintain the backup of the business’ data.

Hardware Setup and Latest Software

The CPAs working in the accounting services Singapore use latest accounting software. It helps them immensely in accommodating the latest changes in the rules. When a business hires an accounting service, the decision saves it the cost of establishing the setup, licensing fees of the software, and IT training.

If are in need of outsourcing of your accounting function, but, are yet to take a firm decision about it, remember that the accounting services Singapore are trustworthy firms. That is why multinational companies have been outsourcing to accounting firms in Singapore for a long time.

Do You Not Feel the Need of Hiring Professional Accounting Services Singapore?

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Outsourcing to Accounting Services

Time is money for a small business owner. Spending it on technically challenging and a time-consuming task like preparing financial statements is a kind of a waste. Moreover, doing it accurately does not earn the business any money as it is a non-core activity. Have you ever thought about hiring one of the experienced accounting services Singapore to do it?

Save Resources by Outsourcing to Accounting Services

Here is a situation that you must tread cautiously to ensure your accurate and timely statutory compliance as dictated by ACRA. You need to decide whether to hand over your books of accounts to a third-party accounting firm in Singapore or keep them close to your chest. You can do them yourself or hire an in-house permanent accountant for the task.

By the way, the term ‘third-party’ may have raised doubts in your mind about the sanctity of your financial transactions. The accounting firms in Singapore employ professional accountants are well versed in the Singapore Financial Reporting Standards. They are tight-lipped and are known to keep their clients’ confidences. Your business data is safe with them.

The Certified Accounting Professionals (CPAs) have industry-wide experience. They use state-of-the-art accounting software, and obviously, they are aware of the latest changes in the rules and regulations. It helps in ensuring the accuracy while preparing their clients’ financial statements.

The accounting services fees are affordable as they charge by the volume of transactions. If you search far and wide, you may even find more than one accounting services Singapore willing to offer your Small and Medium Enterprise (SME), a customized package.

Accounting Firms in Singapore Helps in Reducing Overhead Costs

The small business owners need to invest every minute of their time in selling their products and services and maximize their returns on investment. In most of the cases, these individuals multitask to do so. It is the only way they can face the competition and stay in the business.

To put it in bold letters, they cannot afford to spend time on their accounting books. Appointing one of the experienced accounting firms in Singapore is a very viable option for them.

Benefits of Accounting Services in Singapore

Accounting services Singapore extend themselves in order to accommodate their clients’ needs. The businesses seeing a significant jump in the volume of their business transactions during the particular seasons, festivals or due to other circumstances can ask their accounting firms to upscale its services. And during the slack, they can ask to downscale it. Following are the services a business owner can expect from the accounting services like SBS Consulting:

  • Singapore Accounting Software Assistance

  • Singapore Professional Accounting Service

  • Recording Full Set of Account Transactions

  • Preparation of Cash Flow Statements

  • Singapore Group Consolidation

  • Singapore Bank and Other Accounts Reconciliation

  • Accounts Payable (AP)

  • Financial Statements Preparation

  • Directors Report /Compilation Report Preparation

  • Compilation of Accounts

  • XBRL Statement Preparation

Appointing a reputed and experienced accounting firm in Singapore proves beneficial to the owner of the small businesses. The payment of a small amount of fee guarantees them the services of veteran bookkeepers and CPAs.

Moreover, they do not have to hire an in-house accountant and invest in computer servers and costly software tools. It also absolves them from managing leaves, holidays, CPF contributions, employee benefits and etc. overheads that are associated with the hiring of a permanent employee.

One of the benefits of using accounting services is that the SMEs and the start-ups do not have to invest in computer, latest software, and related IT services. They simply need to outsource their accounting needs to these qualified professionals who take care of their statutory compliance in the most satisfactory way.

Demand for Professional Accounting Services Singapore is Surging

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Benefits of Accounting firm in Singapore

Despite the emergence of a massive number of technology-driven accounting software in the market, the demand for accounting services is still growing. Many a time, people tend to think that accounting software can fully replace the professional services of an accountant or a third-party firm. But, that is not true. Yes, accounting software has transformed the manner in which third-party firms operate. Plus, it has automated the various day-to-day operations of a business and eventually, reduced the chances of manual error. However, it cannot supersede the expertise and experience of an accountant. This is why accounting services Singapore is still growing and in demand.

A modern accounting firm in Singapore harnesses the power of both, accounting software and talents of accountants to deliver unmatched services to their clients. The businesses, with an aim to stay financially fit, outsource accounting functions to a reliable third-party firm. Secondly, the stringent laws of the Accounting & Corporate Regulatory Authority (ACRA) drive demand for professional services. Since a Singapore accounting firm takes good care of all compliance-related issues of its clients, the businesses can rest assured that their accounting activities are in safe hands, and compliance will be fulfilled in a legal manner.

Why Outsourcing to Accounting Services Singapore is On the Rise?

The surge in the number of outsourcing of accounting services in Singapore suggests its rising demand and bright future. There are some advantages such as access to talented resources, time saving, cost reduction, a chance to focus on core competencies, and faster turnaround time which primarily drive businesses to adopt outsourcing.

Save Time:

A study says an average entrepreneur works 50 to 52 hours a week, but still they could not manage time to get everything done. If they have to wear many hats and handle accounting activities, the outcome will not be a satisfactory one. And eventually, the business is likely to encounter an unforeseen setback. But, an outsourcing firm ensures to provide end-to-end services to their clients. Be it the reviewing financial statement, meeting compliance requirements, developing budgets or cash flow management. Everything will be done within the guaranteed period. And, the entrepreneur will be free to focus solely on business activities.

Compliance Assurance:

The legal acts and compliance requirements of ACRA and IRAS (Inland Revenue Authority of Singapore) are bit complicated and daunting in general, which makes handling of compliance issues, and tax matters a challenge for most of the businesses in the city-state. Each business must abide by the statutory regulations of these authorities.

Even if there are good numbers of accounting software present in the market, but using those without an expert accountant or tax consultant can be risky. These professionals keep themselves aware of the ever-changing laws of ACRA and IRAS and use updated software accordingly. Thereby, the professionals of accounting firms in Singapore help their clients in meeting stringent rules of the authorities.

Apart from these, here is a list of other benefits an accounting firm in Singapore has to offer:

  • Cost Reduction: Businesses using accounting services Singapore is believed to have minimal operating costs and improved business productivity levels. As a matter of fact, they do not need to spend money on typical in-house employees of the accounting department.

  • Access to Talent Pool of Accountant: Outsourcing allows the businesses to get access to a vast talent pool of the firm. The Certified Professional Accountant (CPA) are efficient and useful for your business to scale up.

  • Quality-driven Solutions: The ever-rising competition has motivated the accounting firms to adopt the latest technology and customer-focused business strategies. As the services could not afford the risk of losing their valuable clients, they make sure to provide quality-driven solutions to each of their clients.

  • Faster Turnaround Time: In short, accounting firms ensure to deliver quality services within the deadline, thus helping the businesses in many ways. You get quality services with faster turnaround time.

  • Concentrate on Productive Work: Although accounting activities essential in business, these are deemed to be non-productive activities. When you outsource, you get ample time to concentrate on productive activities of your business.

From the excerpt described above, we can conclude that accounting services Singapore do not seem to have any risk of being doomed in future. But the competitive price pressure will mount as more and more services providers are mushrooming in the Singapore market.

Singapore Accounting Standards: How Crucial are Those for Your Business?

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Singapore Accounting Standards

Over the years, Singapore has attracted an enormous amount of foreign investment with its openness towards free trade, geographical advantages, world-class infrastructure and pro-business policies. For every business in Singapore, adhering to the local regulations is the key. Most of the businesses take help of accounting services Singapore like SBS Consulting. One of the statutory obligations is to file the financial report as per the Singapore accounting standards. In an attempt to attract foreign investors, these standards are designed as per the international accounting standards.

The result of non-compliance could be as severe as incarceration. The defaulters may face fine, penalty and court summons. So, it is better to get acquainted with the on-going laws and procedures. Alternatively, you can hire the professional accounting services Singapore.

This blog is highlighting the details of Singapore accounting standards followed by the certified and experienced CPAs working in accounting services Singapore. Understanding these standards may help you to compile a factual and compliant-friendly financial statement for your business.

What is Accounting Standards?

In brief, the accounting standards are reporting frameworks consisting a set of principles and conduct of policies for management of accounting transactions of business. Based on the accounting standards, business transactions and other events are recognized, measured, presented and disclosed in a financial report.

What is Financial Statement?

A financial statement or report is an official report compiled by a business, person or entity to keep the record of their financial activities. These statements are presented in a structured manner so that anyone can easily understand it. A true, accurate and fairly presented financial report is fundamental for the smooth functioning of the business as it helps the business owner in making critical financial decisions. The format of financial statement can vary from one jurisdiction to another.

Singapore Accounting Standards

Singapore accounting standards are formally known as Singapore Financial Reporting Standards (SFRS). The Accounting Standards Council (ASC) is responsible for the preparation and declaration of accounting standards in Singapore. The standards are based on International Financial Reporting Standards (IFRS). All locally based companies with the financial year starting on or after January 1, 2003, have to abide by the Singapore Financial Reporting Standards (SFRS).

The SFRS includes approximately 39 standards including Financial Reporting Standards (FRSs) and SFRS for Small Entities. Each standard covers specific topic such as revenue recognition, property, accounting for inventories, statement of cash flow, presentation of the financial statement, etc.

Why Compliance with SFRS is Necessary for Your Business?

To prepare the financial statement as per the SFRS is a mandatory requirement for every business. The national regulator, ACRA (Accounting & Corporate Regulatory Authority) demands the business to fulfill this legal obligation. Failing to comply may result in ACRA taking some severe actions such as

1) Issuance of advisory

2) Issuance of Warning Letter

3) Fine by offer of composition; and

4) Prosecution leading to fines and/or imprisonment

In addition to these, ACRA may ask the company to modify the deficient financial statement, either in the next set of reports or by having the current set of financial statement restated, re-audited and re-filed with ACRA.

Singapore Accounting Services Helps Your Business Stay Compliant and Competent

Keep your business safe, compliant-friendly and flourishing by hiring a good accounting firm in Singapore. When you engage a qualified team from the Singapore accounting services, you can rest assured that your accounting activities are in safe hands. The professionals working in these firms stay abreast of the changes in accounting requirements and eventually, they compile the financial statement as per the rules and regulations in force.

Outsource Bookkeeping and Accounting Services to Drive Your Business Forward

Accounting Services Singapore

Outsource Bookkeeping and Accounting Services Singapore

Let your business thrive by developing a better control over finance and accounting process of your organization. Together with this, other factors like low management cost and use of advanced technology are equally important for a business to grow in an exponential manner. Small businesses using Do-It-Yourself approach could hardly manage to achieve all these essential factors at the same point in time. Along this line, accounting services Singapore let you avail all these features under-one-roof to empower your business venture.

Since ages, we all have consistently been reminded about the importance of accounting for the businesses. In fact, accounting and bookkeeping are also widely regarded as the “languages of business” due to the manner in which these two aspects record the company’s financial dealings. Earlier, companies used to have the in-house accountant and bookkeeper to look after their finance and accounting activities. But, as years passed by, things started to change drastically regarding the way a company perceives to fulfill its finance-related requirements.

Why Businesses Prefer to Outsource Bookkeeping and Accounting Services Singapore?

Get Access to the Advanced Technology:

Singapore small businesses prefer outsourcing to accounting firms in Singapore that have access to advanced software. This allows the small businesses to have access to the talented resources and latest accounting software by paying a small fee. Buying an expensive accounting software is not an easy task for a small business and even mid-sized businesses with a tight budget.

Bring Your Business Cost down:

It is always a better idea to outsource your business accounting to one of the reliable accounting services Singapore. It saves time, energy and money and assures your compliance regarding Singapore accounting and bookkeeping tasks such as general ledger, cash flow management, balance sheet and compiling financial statements. Most importantly, you get insight into the financial status of your business from the highly-experienced professionals of the appointed firm.

Stay Focused to Core Competencies:

The productive activities of business require a high level of concentration and hard work. Accounting and bookkeeping activities are considered to be the non-core tasks. Outsourcing of these non-core tasks to professional services lets you focus on core operations and gives a boost to the productivity of your business.

Get the Financial Statement Ready:

The highly-experienced and knowledgeable accountants of Singapore accounting firms prepare and compile the financial statement of their clients as per the Singapore Financial Reporting Standards (SFRS). It helps them stay compliant with the laws of ACRA.

Lastly, running a business is like riding a roller coaster. You will come across myriad obstacles on your way to achieving success. However, the journey would be less challenging when you have right people and resources around. The professional accounting and bookkeeping services in Singapore are known for providing comprehensive support to the companies in streamlining the processes, which is crucial for every successful business.