Payroll Best Practices for Small Businesses
Payroll is an important feature of any business that is not a sole proprietorship. This is because it is payroll that makes sure that employees are all getting paid the amounts that are owed to them. If a company’s payroll system is inefficient, then it can cause errors to be made, time to be wasted, and employees to be unhappy.
Here are some payroll best practices which can help you prevent these things from happening.
1. Track work hours automatically
You do not need to track employee work hours by hand or with time cards anymore. There is software available that can do this for you automatically. Software such as the Ximble app can keep track of all of your employee work hours in an extremely accurate manner. Using software like this can help you optimize your payroll system.
2. Use payroll software
In addition to software that tracks employee work hours, there is also software that can do things like automatically take out tax obligations, print checks, print receipts, etc. An example of this would be the Intuit payroll software. This software is another technological innovation that can dramatically streamline your payroll process.
3. Use independent contractors where possible
If you can hire independent contractors for short-term, part-time, or seasonal jobs instead of having to take on a salaried employee, then it can make your payroll process much simpler. This is because you will not have to pay payroll taxes, or deal with benefits, or take out tax obligations. You can just pay the contractor what you owe him or her and give him or her a 10-99 form. That is pretty much it.
So, this can also simplify things for you.
If you are trying to start or grow a small business, then chances are, you most likely do not want to be wasting your valuable time dealing with payroll. Using the tips in this blog can help either you or a member of your staff to deal with payroll in a more efficient way. So, if you are currently struggling to streamline your payroll process, then you should consider implementing these strategies.