Every year, the Internal Revenue Service doles out billions of dollars in civil penalties for businesses that fail to meet employment tax requirements. And this is only one headache associated with shortfalls in managing your company’s growing payroll. You also risk disgruntled employees, time and productivity lost as your staff grapples with payroll issues, and the potential for fraud.
Here are three tips to keep your payroll management process on track:
Refreshers to Grow Your Payroll
Stay Current on State and Federal Tax Requirements
Government payroll regulations are complex and constantly changing. Along with the myriad details of actual laws, your business’s specific requirements are also prone to change, especially as you grow and take on more employees. It’s critical to stay current on what is required of your company so you can avoid costly fines and penalties.
Use a Payroll Calendar
A payroll calendar can help you keep track of dates to ensure that you pay people and taxes on time. In addition to keeping those responsible for payroll processing on schedule, a calendar keeps employees informed as to when timecards need to be submitted and when they will be paid.
- Your calendar also should include dates for payroll audits; a general rule of thumb is to conduct audits at least once a year.
- Numerous payroll software apps offer functionalities that enable you to create payroll calendars. Or, you can create a calendar in a spreadsheet.
Record Best Practice Procedures
You may want to create a manual with all the steps for handling payroll, as well as best practices, so administrators can better understand and fulfill their duties. Among these practices are updating records regularly with the latest details for each employee, double checking all data entry work for duplicate information or errors, and establishing a reminder system to avoid missing any tax deadlines.
Payroll Management Without the Headaches
There may come a point where the benefits of managing your own payroll become outweighed by the problems and strains on your resources.
For an increasing number of businesses, outsourcing payroll to a trusted partner is the best solution to address this challenge. To learn more about this option, contact KeyHR today. No matter what size your company is, we can help eliminate the burdens of payroll processing while at the same time saving you 20 to 40 percent in expenses.
- Posted by admin
- On October 6, 2023
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