How does outsourcing payroll work?

It is a very simple process. You just need to sign up with us for a free trial or contact us directly. We will then ask you to provide us with the information for your payroll online. That’s all you need to do. Payslips and reports are sent to your online secure system.

Should I outsource my payroll?

Yes, you definitely should. Business consultants have made it clear that outsourcing some of the non-core functions to professionals can be good for your business. It helps you save time and money, get expertise, ensure compliance with government regulations and make payroll processing safe and secure. Most importantly, you employ your resources on your central functions which allow you to generate more income as well as saving costs.

How much does it cost to outsource payroll?

With 1 employee in your company, dhPayroll is less than £15 per month. We work on a sliding scale so that you only pay for the work we do, and that helps you keep your costs to a minimum. Costs can be as little at £3 per payslip for larger companies with 50 or more employees. We can further reduce by tailoring costs if your payroll is weekly or you have more than 100 employees, so please contact us in any case for further information on the costs. We would be pleased to discuss your requirements and provide you with a quote.

Is outsourcing payroll cost-effective?

Yes, payroll outsourcing is a very cost-effective solution for your business. Think of all the time and money that is spent in calculating payroll in each period, printing, signing and distributing payslips and making payments, software maintenance, keeping up with changes in tax rates and other training issues, recruiting and training payroll staff, along with premises and other IT costs associated with internal payroll staff. Outsourcing is definitely going to cost you less.

When should you outsource payroll?

You should outsource your payroll when you feel that the cost of getting it done in-house is more than outsourcing it to professionals, but also you would like the added benefits of security and simple effective software and secure online access to payslips and P60s for your team. It is best to focus on the core functions of your organisation because that is what drives your business and makes your company successful.

What Can We Expect from the Spring Budget?

What Can We Expect from the Spring Budget?

Jeremy Hunt will present his Spring Budget on 15th March 2023, marking his second fiscal statement since becoming chancellor.

Experts believe the focus of the Spring Budget will be on how the government plans to get the economy growing faster – one of prime minister Rishi Sunak’s five priorities – and that short-term tax cuts are unlikely, as this could fuel inflation.

“The International Monetary Fund showed its support for the government’s fiscal prudence in the Autumn Statement in stark contrast to the fiscal fiasco around the mini-Budget in September,” said Victoria Scholar, head of investment at the investment platform interactive investor.

“This suggests the Treasury is unlikely to pull any rabbits out of the hat at the Spring Budget on 15 March with chancellor Jeremy Hunt expected to stick to tax increases rather than cuts as taming inflation remains an ongoing priority.”

In January, the Chancellor reiterated the importance of employment and tackling economic inactivity, helping more people into work and filling the vacancies in the jobs market. He also outlined ambitions to help more disabled people and those with mental illnesses into work, and a pensions system that encourages continued workforce participation.

These could all be themes in the chancellor’s Spring Budget. There is also speculation that it could contain a few sweeteners like extending the fuel duty cut, as well as some less welcome announcements such as speeding up the state pension age rise to 68.

Additionally, the latest figures from the Office for National Statistics showed the government saw a surprise £5.4bn surplus in its finances in January, thanks to the highest amount of self-assessment income tax receipts since records began in 1999.

“The army of self-employed poured in much more tax than expected into HMRC coffers in January, giving the government a surplus in its finances despite the splurge in spending to help households and businesses with energy bills,” says Susannah Streeter, head of money and markets at Hargreaves Lansdown.

The boost was due to an increase in Income Tax and National Insurance payments, which reached £368.5bn between April 2022 and January 2023, up £44.9bn from the year before.

Inheritance tax also boosted the government’s finances, with IHT receipts climbing to £5.9bn between April 2022 and January 2023, a £900m increase from the same period a year before.

“This will give UK Finance Minister, Chancellor Jeremy Hunt more potential room for manoeuvre as he plans the budget next month, although the expectation still remains that he’ll hold off any bumper giveaways until closer to an election, particularly as he seems so glued to debt reduction plans”.

We will watch with interest on Wednesday 15th March, for the actual announcement, and then digest the details, and work out what this will mean for us all.