With a small number of employees, when newly established in Vietnam, most customers prefer to use Payroll services or Compensation & Benefit management of INVEST Talent are Representative Offices in Ho Chi Minh City. Ho Chi Minh City and in Hanoi. Theoretically, internal staff is an essential role in the staff of businesses, and this function is just
Managing personnel responsibilities, including salary calculations, monthly Social Insurance registration and declaration, and personal income tax deductions for foreigners, isn’t merely a twice-a-month accounting service. It involves frequent, sometimes daily, tasks, which are prone to numerical errors. Calculating Payroll for numerous employees, each with different tax codes, while adhering to tax authority regulations and social insurance and health insurance rules, can be challenging. These errors can lead to immediate financial losses, and if they persist, they can harm the company’s staff and reputation.as important as the sales department, the marketing department or the accounting department.
Since 2013, in Vietnam, the Government has issued a decree on penalties for enterprises that make incorrect tax declarations of 20% of the value of tax payable and the penalties for enterprises that pay tax late is from 0.3% – 0.7% on a late payment date. In the US, in 2013, the Tax Department issued 6.8 million fines, with a total amount of fines of up to $ 4.5 billion only related to personal income tax and business tax. submitted on behalf of the Employee.
For more than 12 years of providing payroll service, assistance with registration and declaration of Social Insurance, Health Insurance and Unemployment Insurance, INVEST Talent has listed the errors that the accounting department, employees often encounter when participating in the registration of insurance procedures for employees as follows:
- Enter the wrong information (Record) of the employee on the social insurance book: This is the most common mistake of the human resources department, when making this mistake, the employee did not discover it by himself, then, Enterprises will have to carry out corrective and corrective procedures to the Social Insurance agency about the false information, including the certification of the relevant authorities (Example: false information proving people, wrong gender, wrong household address …)
- Wrong calculation of salary hierarchy on the registered and declared salary system, leading to errors in social and health insurance premiums for many years, due to the small difference in figures, causing the ease of passing and when accrued over many years, the amount of Worker deducted is many times greater.
- Neglecting sickness cases, guiding employees not to be careful when providing medical treatment to enjoy health insurance, leading to disadvantages of employees’ benefits while the employers still perform their duties. pay insurance for employees in accordance with the law.
- Losing Employee Insurance book due to carelessness of the Administration, Human Resources, or absentee employees without handing over, this loss leads to very serious consequences, the employee is lost The social insurance book will have to apply for re-certification by itself in all social insurance agencies that its former enterprise used to do.
- Miscalculation of accounts payable by the Company to social insurance and health insurance authorities leads to loss and financial waste of the Company as well as unreasonably reduced income of employees.
- Delayed payment of social insurance premiums as prescribed, resulting in enterprises being administratively sanctioned and having to pay fines for late payment of up to 20% of the late payment of social insurance premiums at the same time. interest rate due to late payment by day, 2 times higher than interest rate of 9-month bank deposit
Above are just a few errors that Invest Talent payroll service and labor compliance support service can help customers minimize unnecessary risks and costs. Although some small and medium-sized businesses may hire a human resource specialist to be responsible for salary payment, there are a number of benefits that businesses refer to in order to decide on outsourcing payroll services. Payroll calculation and labor compliance support are as follows through reputable HR service companies in Vietnam, to obtain the following benefits:
- Cost savings: The cost to hire 1 HR Manager and 2 affiliated employees will be much higher if you outsource a professional payroll service, with only a fee ranging from 5,000,000 VND 20,000,000 / month and do not have to worry about handing over between employees when they leave.
- Risk mitigation: Because the company provides a payroll service with a strong team of experienced professionals, long experience working with management agencies as well as the ability to perform accurate calculations, will help businesses. minimizing risks when providing high professional services.
- Increasing data security and safety: There are quite a few risks when employees of the enterprise calculate the salary themselves, there are many careless cases leading to the leakage of personal information of personnel, or there are also cases of forging records for personal gain or embezzlement. On a relative level, outsourcing a payroll service is more secure because INVEST Talent uses a remote server system to store data, avoiding the theft of business data.
- Ensuring Compliance with current labor laws: When establishing a representative office in Vietnam, most of the leaders of enterprises are not knowledgeable about the provisions of the current Labor Law and not Every employee is an expert in the complex field of government regulations on taxes and employment. INVEST Talent will help businesses with newly established representative offices in Vietnam to fulfill their legal obligations when employing employees in Vietnam, avoiding businesses making mistakes that lead to violations and being costly fines as well as other liabilities.
Inside edge to provide levels of service for management of wages, pay salaries, calculate math wages , Statistics declaration and decided Accounting Tax Collection Sign fish workers, INVEST Talent also investment advice add to the visitors every way distributed additional expenses pay back to correct the law and where Management of the collection Sign of the labor action.
INVEST Talent has office in both Ha Noi & Ho Ho Chi Minh City with the contingent ‘s the thick commanded specialized subjects, understand deeply about law taxes, labor law and business experience to do with the agencies concerned management of tax and Social Insurance in Vietnam.