The ability to accurately follow employee data through your payroll, human resources, accounts payable and tax departments is a key factor in managing mobility costs and compliance.
A key offering within our end-to-end financial services portfolio, the compensation administration services are designed to reduce administrative burden while improving data integrity and ensuring compliance with income tax filing and financial reporting. Managing relocating employees’ assignment-related expenses gives us a unique ability to streamline compensation delivery, ensure that the compensation is accurately reported for tax returns and that employees remain compliant.
Our Client Financial Services Team is comprised of analysts with backgrounds in internal audit management, payroll processing and tax consulting who are knowledgeable in global compensation practices, changing laws and regulations around the world.
Partnering with BGRS yields:
Reducing additional annual compliance costs assessed by tax providers such as data gathering and audits
Interface capabilities with third-party compensation data providers and payroll systems that streamline processes for quicker turnarounds and more cost-effective delivery
Ability to tailor format, frequency, and secure transmission methods to meet your specific needs
Comprehensive data provision to tax providers that minimizes risk of errors
Consistent employee compensation briefing and reduced number of contacts for your employees
Certificates of Coverage
To serve as proof that the employee and employer are exempt from Social Security taxes in the host country, we apply for Australian, U.S. and Canadian Outbound Certificates of Coverage. We will work with your tax provider to obtain the status of all applications, track and proactively manage all critical dates as assignments come to end, extension, repatriation or sequential status ensuring compliance.
We can prepare domestic and international cost estimates that reflect the total cost of the relocation and/or assignment based on your employee’s specific compensation profile and related policy entitlements. We offer both online cost estimates via a self-service cost estimate tool for clients looking for a high level cost estimation and a full-service approach which provides an added degree of rigor and expertise when cost estimation needs are more complex.
The final cost estimate can be presented in the home country, host country or company base currency offering a detailed analysis of line item expenditures. Further, we can report on cost estimates and forecast against actual relocation expenses to support of budgeting efforts and report on year over year spend by category.
Balance Sheet and Payroll Services
We remove the internal administration and bring consistency and accuracy through the provision of full payroll reconciliation. Utilizing your policy components, we prepare your employees’ balance sheet calculation complemented by a consultation on the balance sheet to your employees. The balance sheet will serve as the foundation for managing compensation through the duration of the assignment. We will work closely with your payroll department and payroll agents globally to manage your employees’ international compensation, including split instruction, full payroll reconciliation and discontinuing payroll at host country upon repatriation. Based on your preferences, we can deploy automated file transfers to further reduce administration, promote data integrity and enhance the security of data transmissions.
Cost of Living Allowance
Utilizing your preferred methodology we calculate the cost of living allowance amounts and arrange for recurring payments. We monitor and adjust amounts based upon your pre-determined frequency.
Compensation Accumulation and Global Reporting Service
We gather and track non-payroll expenses paid in home and host locations, and prepare home and/or host country ongoing and year-end compensation summaries. We supply the summaries to your tax provider and/or local in-country tax counsel for income tax return preparation, shadow payroll and local tax remit.