What is payroll outsourcing?

Outsourcing payroll means simply to transfer, subcontract, or farm out your payroll processing to another company.

Managed payroll is a term you may hear when looking up payroll outsourcing. A managed payroll provider will manage your payroll for you. Simple!

Do companies in Tanzania outsource their payroll?

Yes, yes, they do this by outsourcing their payroll processing to an external payroll company.

Outsourcing payroll is all about thinking ahead. Employers can attest to the fact that when it comes to payroll, it is a rather sensitive task, yet an integral part of their core business activities – and as an employer, you would want peace of mind that all your statutory requirements are met. The management can focus on strategic aspects of the business.

Processing payroll in-house is time-consuming and requires acute attention to detail as the number of staff increases. Most of the cost savings associated with payroll outsourcing reflect on the time a company can win back by not doing these duties in-house, which includes everything from calculating payroll taxes, salary payments, salary slips, statutory filings, handling payroll inquiries, etc.

Although having your human resource employee or the office manager handling the payroll function can be cost-effective but are you confident enough, that if you were to be audited by the respective government authorities, all your payroll-related statutory requirements are in order?

How does outsourcing payroll function assist in streamlining your statutory requirements?

Skilled expertise in payroll - Our outsourced payroll staff at RSM are up-to-date with the latest in payroll tax laws and have the necessary knowledge and experience to ensure that your company's needs are met.

Our payroll systems are in line with the latest in technology- The added benefit to you, as the employer, is that it is all-inclusive in the cost – which means you will be cutting costs in software licensing and upgrades.

Statutory registration and other support- Our services are not limited to the monthly processing of payroll, we can assist with the NSSF, WCF, HESLB and TRA E-filing registration and we administer other HR-related functionalities such as the distribution of employee pay slips, salary payments and processing of work permit for expatriate.

Ensuring crucial deadlines are met - such as of Workers Compensation Fund (WCF), National Social Security Fund (NSSF), Pay as You Earn (PAYE), Skill Development Levy (SDL), Higher Education Student Loan Board (HESLB), National Health Insurance Fund (NHIF) and etc. We ensure that all your monthly and annual deadlines are met to ensure you remain compliant with all the statutory requirements and free up your time and mind.

Real-time payroll reports are available upon request for your business needs - our dedicated team is available to assist you with the payroll history and supporting documents.

Better risk management - eliminate the risk of fraudulent transactions to ghost employees and reduce payroll processing errors.

Tax experts – we have the necessary on-site resources to handle complicated tax calculations for ex-pat employees in compliance with Tanzania labor law.

Enhance the security of payroll data – rest assured your payroll data is safe, secure and remains confidential. Records of all your current and historic payroll data can be made available to you on request by an authorized person.

Tax and other Regulatory audits  – our department is equipped with resources to respond and advise accordingly to all queries raised by Tanzania Revenue Authority and other Regulatory reviews such as NSSF, VETA, etc.