Payroll outsourcing service in Tanzania does involve a third-party agency to do most of the company’s payroll work, that includes managing the employee’s salary, payment and calculation as well as other functions.
For any company that is considering to set up a business in Tanzania, managing the payroll, taxes, human resource and other stuff are time-consuming as well as money spent waste. Without realising this, most companies do set up their payroll services in-house and waste their resources on such non-profitable work. This is where you need to consider outsourcing payroll services. Many companies in Tanzania outsource all of their payroll work and have their employees to put efforts in other aspects of the business.
Payroll outsourcing involves an agency to manage the employee’s salary, calculate his tax and deductions, timely payment of tax and other related chores. According to the Tax Administration Act 2015, the employees who are under the PAYE (Pay As You Earn) scheme are required to file income tax by the end of the month or end of 6 months, depending upon the type of employment. Failure to pay within the stipulated time will result in the employee being penalised. Therefore, it is essential to prepare and dispense salaries in time, to avoid such incidents. The best way possible to maintain compliance with the Tax Administration Act and pay your employees on time is to outsource your payroll services to enjoy the benefits of timely payment and action.
Why Outsource Your Payroll Management Services to Tanzania?
It is often tough for businesses to manage the payroll of an employee. Most of the businesses either lack knowledge or do not have enough time to stay updated with the latest rules and regulations of the local payroll. With so many laws, employee benefit programs and regulations, it becomes much more challenging to compute the exact salary and amount of tax refunds for a single employee, let alone the entire company. This is where outsourcing payroll services help. Most of the payroll outsourcing companies in Tanzania do so because the service providers are well up to date with the local laws and regulations. They also carry the latest software to compute employee’s salary and much more, so that the employees can be put to use in areas where more efforts are required.
Benefits of Outsourcing Payroll Management Services to Tanzania
Once you understand the importance of payroll management service, it is also essential to know the benefits of outsourcing them. Here are some of the benefits of outsourcing payroll services to Tanzania.
Payroll management is a time-consuming task. Keeping track of most of the employees, maintain their tax savings and other related chores takes a lot of time. By outsourcing these services, companies can save time and put that time to use in other activities that can generate revenue.
Is Safe and Secure
Managing a company’s payroll internally can sometimes lead to errors during the time of tax filing. By outsourcing the task, error-free results can be produced, as most of these outsourcing companies use the latest technology and software to compute salaries and taxes, to prevent malpractice and fraudulent activities.
Complex Rules and Calculations
Managing a company payroll is very time consuming and tedious because you have to do the same thing over and over again, as well as take note of the new framework and legislation changes done by the government. Outsourcing these responsibilities to trained professionals is better, as it saves the hassle of calculating an employee's payroll.
Professional Service Providers
Payroll outsourcing companies provide services from essential level payroll management to creating their software, tailor made to cater to the client's needs. This would save time and money in managing an employee's payroll, from computing their salary, deductions, reimbursing their allowances and calculating their tax along with filing them.
Payroll outsourcing has benefited a lot of companies and has saved them from the challenges of continually changing rulebook, calculating payroll for a particular individual and answering your employee's questions about his payroll. By outsourcing, the company takes care of all of the payroll of the clients.
We at Business Setup Worldwide provide the following payroll outsourcing services in Tanzania:
- Support your entire employee payroll life-cycle, from their date of joining to exit
- Lowering the risk of compliance and penalties
- Processing monthly salaries
- Processing reimbursement and arrears
So, what are you looking for? Contact us today for our assistance. We are happy to help you out!