No matter if you have one employee or one hundred, payroll is something all businesses have to do. Tax laws are always changing, and it is hard to keep up with all the ins and outs of payroll. Time spent calculating employees’ hours, and filing the proper forms can also take away from yourself as a business owner, or other employees time.Outsourcing
Payroll services are a great option for many companies. Their main focus is payroll-- they are always up-to-date on the latest tax laws and other payroll needs. These companies know most of the answers (or at least know how to find them) for any special needs cases, such as when someone gets married and has to change their name.
They do charge a fee, but if you add up how much time you or your accountant spends processing and filing payroll it could be cheaper. Depending on the size of your company this could be a lot of time that could be spent doing other important tasks.
When searching for a small business payroll service company, make sure they have a great reputation. Ask for references from past and/or current clients to get feedback. An important question to ask is how many times the company has to pay out fines in the past year. Read the contract very carefully, make sure they remedy any problems if your employees get paid late or encounter tax problems.Streamlining your Process
If outsourcing isn’t in the cards for you, think of how you can streamline the payroll process. How are you calculating your employees’ hours? Are they doing it themselves and reporting to a manager each pay period? Do the managers have to chase down time sheets each week? All of this time spent filling out time sheets, chasing down the time sheets and processing them takes a good chunk of time out for your managers.
Instead, see if you can implement a time and attendance system that is computerized. There are many inexpensive Internet based programs that can help you calculate your employees’ time.
Whether it is outsourcing your payroll needs, or finding better tactics to make the job easier, payroll is something every business needs to deal with. Your employees will need a paycheck that comes in every week, and without any errors. Finding the right help or better process to do so will make your whole business run more smoothly.