What is an outsourced payroll calculator?
An outsourced payroll calculator helps you estimate the true cost of running payroll in-house – including staff time, software, compliance overheads, and the risk of errors – and compare it against the cost of outsourcing to a specialist provider.
Unlike a basic salary or tax calculator, an outsourced payroll calculator is designed to surface the hidden costs that often go unnoticed when payroll is managed internally. From PAYE administration and pension auto-enrolment to keeping up with HMRC legislation changes, the full picture is often more expensive than it first appears.
Outsourced payroll calculator
Total number of employees in your organisation
How many people do you employ to process your payroll? (FTEs)
What is the average FTE salary of each person employed to process payroll?
What is the average employer NI contributions and benefits per FTE?
Total annual cost of employees processing payroll internally:
Based on the information you've provided we estimate that your organisation would save the following amounts each year by outsourcing your payroll with Ciphr instead of processing payroll in house (assuming a single monthly payroll):
Estimated saving in year 1
(inc. implementation):
£0
Estimated saving in year 2:
£0
Estimated saving in year 3:
£0
Why use our outsourced payroll calculator?
Our outsourced payroll calculator is built for UK businesses that want a clear, honest comparison between the cost of in-house payroll and the cost of a fully managed outsourced payroll service.
Simply input your number of employees and a few details about your current payroll setup, and our calculator will generate an estimate of your potential savings. So you can build a business case for outsourcing payroll or simply validate the approach you’re already taking.
Whether you’re a growing SME weighing up your first outsourced payroll provider or an established organisation reviewing your current arrangement, this tool gives you a useful starting point.
And if you decide that outsourced payroll could be right for you, get in touch with us to find out how we can support your outsourced payroll goals.
The benefits of outsourced payroll
Outsourcing payroll to a trusted provider like Ciphr means your employees are paid accurately and on time, every time, while your HR and finance teams are free to focus on more strategic work.
Key benefits of outsourced payroll include:
- Reduced admin burden – no more manual payroll runs, BACS submissions, or chasing timesheet data
- Compliance confidence – your payroll is managed by CIPP-qualified experts who stay on top of HMRC changes, National Minimum Wage (NMW) uplifts, and legislative updates
- Cost saving – most organisations find outsourced payroll costs less than maintaining in-house payroll software, training, and dedicated headcount
- Fewer errors – specialist payroll teams apply robust checking processes that reduce the risk of costly payroll mistakes
- Scalability – whether you have 50 or 5,000 employees, an outsourced payroll service scales with your business
Ready to explore outsourced payroll with Ciphr?
Once you’ve used our outsourced payroll calculator to estimate your potential savings, the next step is to speak to one of our payroll specialists. We’ll walk you through Ciphr’s outsourced payroll service, explain what’s included, and give you a tailored quote based on your organisation’s needs.
Outsourced payroll calculator FAQs
How does the outsourced payroll calculator work?
Enter the number of employees on your payroll, your current payroll processing costs (including staff time and software), and the calculator estimates how much you could save by switching to our outsourced payroll service.
Is this calculator suitable for UK organisations?
Yes. Our outsourced payroll calculator is designed specifically for UK-based organisations and reflects the costs associated with UK payroll compliance, including PAYE, pension contributions, and statutory pay obligations.
What’s the difference between outsourced payroll and payroll bureau services?
Outsourced payroll typically means a provider takes full ownership of your payroll process end-to-end. A payroll bureau service provides expert support and processing but may require more input from your internal team. We offer both services.
How much does outsourced payroll cost?
Costs vary depending on your organisation’s size, payroll complexity, and pay frequency. Most organisations find that outsourcing payroll is more cost-effective than processing in-house once all costs are factored in. Use the calculator above to get an estimate, then speak to our team for a tailored quote.