I am studying for the Level 3 Diploma in Payroll Management at the moment and I have to admit (sounds very strange to get excited about tax ) but I am really enjoying the course. I am enjoying it so much that at the moment I am considering offering it as my main service alongside the bookkeeping.
I have a few questions really, the first is whether you think that a self employed person can get enough work via payroll to make a fulltime job out of it or do you think with the deadlines for submitting tax to HMRC etc it would be a struggle to have too many payroll clients.
Also, I guess another question would be that in your experiences, would many businesses outsource their payroll to a self employed business or would they do it in house.
I also have absolutely no idea what I would charge for payroll services, I have been looking online at local bookkeeping/payroll services in my area and they advise to call to disuss a quote but obviously I dont want to do that. I imagine that rather than an hourly rate I would have bands of prices ie 1-5 employees, 5-10 employees etc
Obviously it's not something that I plan to do straight away, I want to pass my exams first but I like to know the direction that I am headed and this seems like a good opportunity for me to do something that I enjoy.
Hi Terri, I'm similar in the fact I get excited about tax! lol. I also get excited about profit and loss accounts, and figures in general!, well that one way of knowing you are doing the right job.
Going bk to the OP questions, I think it is a good idea to offer as many services as possible to optimise the amount of work you have, and it may be more interesting and varied, especially as you enjoy it!. If you do get to much work you could turn it away, that is always an option. I try to offer as many services as poss, almost like a 'one stop shop', I think it makes it easier for the client and also more work for yourself.
Hi Terri, I know where your coming from not wanting to ring companies up for quotes but there is absolutely no harm in enquiring. They dont have to know you are a book keeper. Just mention the amount of 'employees' you may have and ask what the cost would be...at least this way you get an idea of what people around you are charging. Some companies do keep the payroll in house but alot do outsource. Even book keepers can outsource the payroll for clients too...some companies have a lower rate for accountants/bookkeepers. So this way even if you do get more work than you can manage...you can outsource and still make a little from it. If you do need to outsource...let me know. Payroll can bring the money in slowly if you take on sole traders/small businesses with only 1 or 2 employees but then on the flipside you may take on businesses with upto 40 employees, which obviously will bring in abit more money.
Also with the payroll software available, it makes the end of year forms alot easier and quicker to do as alot are filled in as you work your way through the year.
Anyway, good luck whatever you decide.
D
-- Edited by blondie on Sunday 10th of January 2010 04:30:37 PM
Unless you have loads of payroll clients, it won't pay the bills on its own! I run the payroll for 25 ish small companies (ie 9/10 have no more than 5 employees!). Over the year, this would not give me an income on its own.
Yes that's right. I am doing the Level III Diploma in Business Management. Just trying to offer some addition services. I haven't had a bookkeeping enquiry for a few months now, so trying to use this really quiet time to study as much as possible so that when things to pick up, I will be in a better position.
I took the IAB level 3 last June (computerised) & obtained an A Distinction, also went into teaching payroll as well (theres a shortage of l3 assessors as well). Im looking into doing the IPP pensions and payroll degree next, I love payroll, its so interesting. I used to work for a payroll bureau and I used to do about 15 a week, paid my boss well though along with all the monthlys. I remember completing 52 year ends in 3 days, how stressful.. Let me know how you get on?
In think it is largely dependent on the type of clientele you aim your service at. I find that alot of people within the hospitality industry particularly small businesses find payroll a very messy subject (mostly because of the tax parameters, deadlines for submissions, and generally understanding tax codes.)
I would think it would be hard work to make it a full-time occupation, but not impossible. Unfortunately payroll is one of the lower paid services of book keeping and accountancy though, and that is where you may hit a problem as you may limit your potential to earn.
Feel free to have a look at my query and provide an answer too.
) but I am really enjoying the course. I am enjoying it so much that at the moment I am considering offering it as my main service alongside the bookkeeping.
