From a recent Guardian Article:
The majority of the estimated 4.5m private sector businesses in the UK don’t employ any staff (because they’re one-person firms). For the 1.2m enterprises that do, paying staff is essential. Laws dictate how tax and national insurance must be deducted, payslips issued, records kept and returns sent to the taxman. All of these requirements are grouped together under the heading of payroll.
A simple payroll may have just one employee paid the same monthly salary; a complex payroll may have many staff, paid different amounts each week, with frequent joiners and leavers.
One way a small business can organise its payroll is to outsource it – typically to their accountant or bookkeeper. Larger businesses may use a specialist payroll firm. If outsourcing is chosen, good communication is essential: if you don’t tell your accountant that someone has left, they may still get paid.
It can be comforting to know that your payroll is in the hands of a specialist, although this must be balanced against the financial cost and the risk of communication errors, particularly for complex payrolls.
Turpins Bookkeeping Services are your local trusted payroll experts. We deal with companies that have a single employee, companies that have a half dozen workers and firms with over 200 staff.