Outsourced Payroll Administration: How a ASO Solution Helps Your Human Resources Problems by:Kai Yee
Next time you get your wages you should seriously consider taking your Payroll Administrator out for coffee
. Payroll Management is an extraordinarily complicated job.
Here is an example of the work a Payroll Administrator must perform to do her job. In any given pay period, your Payroll Administrator must process and issue employee paychecks plus calculate statements of earnings and deductions. She has to keep accurate track of employee time, absenteeism and other records. She also has to provide information to workers and executives on payroll matters, benefit plans, and collective agreement provisions.
If that weren't enough your Payroll Administrator must keep up with new laws. This is especially relevant in light of the current economic situation. For example, the new American Recovery and Reinvestment Act of 2009, effects how much workers need to contribute to their the COBRA medical premiums should they be laid off involuntarily and how much credit the employer can claim to offset the balance. If all this sounds like a lot of mumbo-jumbo to you think of how your poor Payroll Administrator must feel! (if you are interested in this particular issue you can check it out on IRS.gov)
A viable alternative to this administrative morass is to employ a professional organization that can take up the administrative duties of a Payroll Administrator as well as other HR functions such as Benefits Mangement. A Profession Employer Organization (PEO) is an administering firm that becomes the employer of record for the client company. The workers in this instance are leased back to the client firm. This approach not only offers administrative relief for a company executive, it can also minimize liability stemming from HR issues such as Payroll Administration.
Another option is the Administrative Services Organization (ASO) solution. An ASO is capable of doing all the HR activities that a PEO can do but it does not require the administrative company be the employer of record for the workers. The added bonus is that the client firm can pick and choose ala carte HR tasks to outsource such as Payroll or Benefits Administration.
Now that you're clued in on the intricacies of a Payroll Administrator's job don't you think she deserves to be taken out for lunch!
To find out more about Payroll Administration you should check out AstraHR.com, Astra HR, an HR Administration firm.
Take on the administrative burden of payroll processing
Provide benefits administration and support
Gain access to quality employee options
Leverage cutting-edge technology solution
Gain access to industry expert Human Resources expertsprofessionals
Implement Human Resources Best Practices
Most Administrative Services Outsourcing (ASO)s will have a Human Resource Information System which allows the client company to access up-to-date personnel data at any time.
A flexible, tailored approach to Human Resources administration should combine an integrated, single source technology solution delivering efficiencies across all aspects of Human Resources management. Clients can outsource some or all Human Resources tasks, or simply enhance existing support capabilities. Either way, a PEO or ASO solution provides companies with relief from administrative burdens. Both PEO and ASO are good options which enable you to focus on your core business competencies and ultimately your overall success.
To find out more about PEOs and ASOs you should check out AgilityHR.com, Astra HR, an HR Administration firm.
About the author
Kai Yee, is a writer, educator and a businessman living and working in Washington, DC. He has taught and lectured at in George Washington University and George Mason University. Currently, he is working as a consultant for Astra HR, an HR Administration firm.
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Outsourced Payroll Administration: How a ASO Solution Helps Your Human Resources Problems by:Kai Yee