Hong Kong outsourced salary calculation: Everything You Need to Know

It’s an open secret that employees are key to the success of your business. In fact, employees are your greatest asset and at the core of propelling your business or company to greater heights through provision of excellent services. Think about it for a moment. Your employees interact with your customers on a daily basis.

They forge client-customer relationships that positively impact your bottom line, inspire confidence in your customers, and are the reason why your customers keep coming back.

An inspired employee spells good fortunes for your business irrespective of whether you are based in Hong Kong or any other part of the globe. This brings us to the most critical factor so far as employee morale and motivation are concerned – payroll. In simple terms, payroll refers to employee compensation. It is the salary that is paid to employees of a business/company for services discharged for a given period of time.

It is the sum of all the financial records of a given employee – salaries, bonuses, taxes, wage garnishments, deductions, and so on. If you’ve just set up your business in Hong Kong and are at a loss on how to effectively manage payroll, the answer is Hong Kong outsourced salary calculation. 

Payroll outsourcing basically refers to the act of engaging the services of an external party/company to manage all salary-related calculations on your behalf. The goal is to save time, reduce costs, and increase efficiency at the workplace while at the same time ensuring that their pay is competitive.

Why Hong Kong Outsourced Salary Calculation is a Good Idea

Chances are that you’ve just set up shop in Hong Kong. You’ve got little to no understanding of the local laws, tax laws, regulations governing payroll processing, or the Hong Kong employment ordinance. How do you maneuver? You guessed it right – Hong Kong outsourced salary calculation. Why is it such a good idea for your Hong Kong business? What are the benefits of salary calculation outsourcing?

• Saves Time

As an employer in Hong Kong, outsourcing all payroll-related activities frees up your time and that of your employees to focus their energy on other important aspects of your business/ company such as sales, customer service, and product development, to mention a few.

• Reduced Costs

Whenever the idea of Hong Kong outsourced salary calculation is mooted, some people are quick to point out that it’s a costly affair. This is not true at all. It actually serves to reduce costs and gives you as an employer peace of mind. Yes, payroll providers in Hong Kong charge fees but that can’t be compared to the fines and penalties that your business or company might accrue from an incompetent or clueless in-house team.

Hong Kong payroll providers have an in-depth understanding of the local labor laws, Employment ordinance, and have the payroll software to make the whole process of HK salary calculation seamless and efficient. You, therefore, save big money from errors made in-house and which could set back your business thousands of dollars in fines and penalties.

• Proven Payroll Expertise

Outsourcing salary processing in Hong Kong means one thing – your business is in the hands of a provider with proven payroll expertise. Let’s face it. Hong Kong laws, just like laws in any other jurisdiction across the globe, are subject to change. 

While you might not see the need for an Hong Kong outsourced salary calculation provider, the truth of the matter is that regulations, payroll laws, withholding rates, and new forms – change frequently and this inadvertently affects your ability to process correct payrolls for your employees.

Add that to the fact that keeping up with the employment ordinance changes or adopting new processes is not only time-consuming but also complicated.

An experienced and proven Hong Kong payroll provider such as Primasia serves to help you understand labor laws, adapt to new changes in employment laws, and implement changes to wage and hour laws, reporting requirements, salary taxes, MPF deductions, and compliance, among others. 

You can run your Hong Kong business with the peace of mind that when changes occur, your Hong Kong payroll provider will not only keep you informed but also make necessary updates to your payroll system.

•  Increased Data Security

Data is the new oil. Data accuracy and security should be your number one goal. Your business data is sensitive and we live in a world where scams and cyber threats are the order of the day. You definitely do not want your sensitive business data falling in the wrong hands.

A qualified HK payroll provider uses cloud-based solutions to encrypt your clients’ and employees’ data, install antivirus software, and regularly scan your systems to avert any attacks or breaches.

Your in-house team or employees doesn’t have such expertise. Outsourcing all payroll-related activities gives you peace of mind that all your business data is not only accurate but also secure.

What Key Factors Should You Consider When Settling for a Hong Kong Payroll Service Provider

Perform a simple Google search and you will notice that there are tons of companies in Hong Kong offering payroll services. How do you separate the wheat from the chaff? How do you ensure your business gets the best services?

What are some of the factors that you should consider to ensure that you go for a Hong Kong payroll service provider with proven expertise and unrivalled benefits? Here are a few key factors that you as an employer needs to consider.

• Understands your company or business needs – The Hong Kong outsourced salary calculation provider should have a clear understanding of your company’s needs to offer you tailor-made payroll outsourcing solutions or services.
• Credentials and experience – You should settle for a payroll calculation company that has been tried, and tested, and has the necessary credentials and experience to move your Hong Kong business to the next level.
• Security – With threats and attacks becoming an all too common occurrence, it’s essential that you go for a Hong Kong salary calculation provider that has invested in top-notch security and cloud-based solutions to keep your client and employee data secure.
• Flexibility – You want an HK payroll service provider that is flexible in the transmission of information. The provider should be able to provide various formats in which information can be transmitted (data file, posting on the web, printing, etc.)
• Cost – Of course, you don’t want a Hong Kong payroll service provider that is overly expensive or whose costs affect your bottom line. Go for a provider that provides top-notch services for your business at an affordable rate.
• Specialization – Depending on the sector of your business, you want to outsource your business payroll services to an HK salary calculation provider that understands your business sector or industry.

Hong Kong outsourced salary calculation : How It Is Done at Primasia?

At Primasia, payroll management is cloud-based and done digitally. We understand that your business needs to run seamlessly and as such use cutting-edge payroll software to ensure that employee compensation, salary calculation, statutory benefits, and tax obligations are properly managed. 

Whether you are a small or big business, we offer Hong Kong HR and payroll services which include monthly and annual tax compliance, payroll outsourcing in Hong Kong, salary calculation and recording, as well as cloud-based payroll.

With our cloud-based solution, your employees not only can access digital monthly salary slips from wherever they are but can also print and save them. Let us free up your time to focus on other important aspects of your business by managing your payroll and salary calculation. 

We understand local laws and regulations and will ensure that your business is compliant with the employment ordinance. By outsourcing your payroll needs to us, we ensure that your monthly payroll needs are taken care of, tax issues addressed, employee income benefits properly calculated, and that you avoid any friction with the Hong Kong tax authorities. If you want your business to be competitive, reach out to us for payroll management software that is not only accurate but also secure!