Transformation of payroll management services in Mexico

Recent changes in Mexican Labor and Tax Laws, related to the restrictions in engagement of personnel services (outsourcing banning) entitles an important business opportunity for consultancy Firms, since there are a lot of companies currently looking for support in implementation and management of payroll services, under the new labor and tax scenario.

Payroll Management must be entrusted to a multidisciplinary team, highly experimented not only on operative and tax compliance matters, but also capable to offer a comprehensive consultancy in the whole process from beginning to end.

Examples of such added value are the services related to:

• Election of appropriate corporate legal structure where the new payroll will be implemented.
• Assistance in the whole registration process as Employer before different authorities: federal, state, social security, migration, labor monitoring, among others.
• Consultancy in the implementation of labor benefits, searching for a balance among market parameters, corporate costs, tax cost-benefit and satisfaction of employees.
• Analysis and restructuring of labor benefits plans.
• Design and restructuring of Payroll internal controls and procedures.
• Audit services: controls and procedures, calculations, tax compliance, special benefits, files and records, etc.
• Consultancy and assistance in expatriates’ affairs.
• Individual compliance of expatriates (migration, tax and legal affairs).
• Consultancy and assistance in payroll special procedures, such as: disincorporation, personnel transfer, tax audits performed by the authority, implementation of changes in law, etc.
• Consultancy and assistance in corporate dissolution: calculation and closure of labor and tax duties, business closing notices before tax and labor authorities, dissolution of legal entities, record and file keeping, etc.

Finally, as usual in our professional and personal lives, it is our inescapable duty to keep up to date in technological advances in the area, to implement the necessary internal changes not only for efficiency purposes but also for security and accessibility matters. The investment in new technologies allows us to offer our clients access to new techniques, procedures, and innovative resources at a lower cost.

Graciela Carpio
BPO Manager
Ecovis Mexico
graciela.carpio@ecovis.mx