It’s safe to say that payday is the time of the month that employees look forward to. But there are hidden processes and vital security measures that are necessary to make this coveted day run smoothly. Using an outsourced partner like HB Accountants for your payroll can help you to streamline your payroll and cut the risk of a cyber breach. So, what’s at stake?
Handling payroll is more than just having the bank account details of the people you employ and making sure they’re paid what they’re owed on a regular basis. As Payroll Manager, I find that meeting legal requirements is a huge part of the payroll process. The General Data Protection Regulation (GDPR) which came into effect last year has added complexity for most companies. It demands that data management standards are met when it comes to record keeping, data security and the prevention of unauthorised access and cyber breaches, especially related to sensitive personal information.
The data security risks are very real. Figures released in the 2018 Cyber Security Breach Survey from Ipsos MORI revealed that 43% of small businesses identified some form of security breach or attack against their business in the previous 12 months. This figure increased to 65% for medium-sized companies.
Outsourcing your payroll to a professional accountancy firm can reduce the risk of a cyber breach relating to employee records.
Outsource payroll for added security
Understandably, some companies are reluctant to keep employees’ personal data at their own premises. In which case, outsourcing payroll to an accountancy firm is the obvious solution. It means that records are not accessible to your own staff helping to avoid any internal breaches. Since GDPR imposes direct statutory obligations on data processors, it should also give you added reassurance. It means that for the first time, the external company you outsource to has direct obligations for data processing and is subject to direct enforcement including fines for data protection non-compliance. So, your outsourced partner has every reason to protect your payroll data.
Benefit from robust encryption practices
Cyber security refers to defences against electronic attacks launched via computer systems and GDPR sets out to significantly improve data security from cyber threats. With robust security practices being reinforced with this law, your outsourced payroll provider will properly secure and encrypt your information as a matter of course. This cybersecurity provision protects individual data and protects your company.
Gain specialist accounting support too
Apart from security, there are several other advantages of outsourcing your payroll to a specialist accountant. You’ll benefit from their specialist training and expertise. This means that they’re unlikely to miss anything or make errors in their calculations. They’ll also be able to highlight potential tax breaks. This should save you time and allow you to focus on steering the business without the worry of arranging payroll each month, however important that might be.
Accountancy practices like HB Accountants have a passion for payroll, so why not find out more about how we can support you. Just get in touch. You can call me, Jane Dunn, on 01992 444466 or email JaneD@hbaccountants.co.uk