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
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.