Brought to you by Flynth
Certainty of reliable payroll administration
As soon as you hire staff, you're required to maintain payroll records. Making mistakes can be costly for you as a business owner. To take the worry out of this, Flynth offers a customized payroll administration package. Payroll administrator Nico Lobbert of Flynth offers food for thought.
Payroll administration forms the basis for payments to your staff and for tax and pension contributions. As an employer, you have many obligations under the law and agricultural collective labor agreements (such as those for Open Field Cultivation, Animal Husbandry, and Greenhouse Horticulture). "If you handle your own payroll administration, you must be aware of all the laws and regulations. This includes changes to, for example, the statutory minimum wage and the collective labor agreement," says Nico. "From experience, I know that for many farmers, administration isn't a hobby; it's simply part of the job. But if you focus on what you're good at, you can outsource other tasks to specialists, whether that's machinery maintenance or payroll administration."
Costly mistakes
Payroll errors can be costly. Fines of up to €4.000 to €10.000 per violation can be significant. "That can really add up," warns Nico. Consider, for example, the subsidies you can apply for to cover the salaries of employees distanced from the labor market. "An administrative error is easily made, and that often means no subsidy. Another example: peak workers for whom you don't have to pay pension contributions. If you don't register them with the pension fund in time, you still have to pay contributions."
Payroll errors can also have far-reaching consequences for employees. "If an employee isn't assigned the correct salary or working hours, it affects their entitlement to benefits and pension accrual. The pension provider can retroactively reclaim any underpaid premiums from you as the employer," explains Nico.
Employees rent (company) housing
Another mistake Nico regularly sees involves employees who rent (company) housing from their employer. "By law, you must pay at least the minimum wage. If you deduct the rent from your salary, you usually don't meet this requirement. It seems cumbersome to first transfer the full salary and then collect the rent, but this way you do comply with the law."
Working abroad
You also need to pay close attention to activities that involve foreign countries. This applies both to working with foreigners in the Netherlands and to Dutch people working for you abroad. For example, if your employees work in a stable you rent across the border. "Under certain circumstances, tax liability shifts to the neighboring country," explains Nico. "Our payroll administrators keep track of these matters for you. And for employees from abroad, we can create standard payslips in German or English. That's included in our package."
Contract extension
"Many entrepreneurs don't know how to extend temporary contracts for on-call workers," Nico knows from experience. When an employee has been employed for twelve months and you make a new offer, it must apply to the average number of hours the employee worked the previous year. If you make a different agreement together, it must be in writing. In practice, we often see that offer never made. And if an employee reduces their hours without written confirmation, they can still claim their salary retroactively. "As an employer, never think: this will be fine. You need to be certain that everything is arranged properly," advises Nico.
Satisfied employees
In today's job market, employee satisfaction is just as important as compliance. "Good payroll administration contributes to that. If payroll matters aren't handled properly, we see more staff leaving. If you prevent that, you'll spend less time and money finding and training new employees."
Knowing it's worth it
Anyone who outsources their payroll administration to Flynth can be sure it's well-managed. "That's our expertise. Our team of payroll administrators includes several specialists. For example, some colleagues are fully active in livestock farming, greenhouse horticulture, or field crops. They are fully aware of the legislation applicable to these sectors. We use a convenient tool where new employees can enter all their data themselves, so you don't have to worry about a thing. You can even generate an employment contract for each employee, which can also be signed digitally. Everything is stored in our system, so you immediately comply with the mandatory seven-year retention period."
Complete package for personnel
At Flynth, you can find solutions for all your personnel-related questions. Think of advice on staff recruitment, progression, and departure, as well as occupational health and safety services and legal advice. "These advisory services aren't included in the payroll packages, so we keep our rates as competitive as possible. You only pay for what you use. Moreover, we provide a cost estimate for each advisory service, so you'll never receive an unexpected invoice," explains Nico. This also means you don't have to find a new provider for every service. "You simply contact your payroll contact person, and they'll connect you to the additional advisors."
golden tip
Nico's golden tip is: "Do what you're good at yourself and outsource the rest. Choose a provider that meets your expectations. Cheap in the short term can ultimately be expensive if you're faced with fines or chargebacks." Payroll administration is much more than just clicking a button every month after the hours have been entered. "At Flynth, we check every month whether you comply with all laws and regulations," says Nico. "As an entrepreneur, you can't do everything yourself. And it would be a shame to miss out on growth or investment opportunities because payroll takes up too much time. Flynth takes care of your payroll administration, so you can focus on your business."
Would you like to learn more about our payroll services? Visit: Carefree payroll administration with Flynth
