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4 Tips For Doing Payroll Quickly And Accurately

June 24, 2022
in Articles
Payroll
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Did you know that 90 percent of startups fail? That’s right, 90 percent.

There are a lot of reasons why startups fail. Poor money management is one of the most common issues, though.
If you want to keep your startup afloat and be part of the 10 percent that survives long-term, you need to make sure you’re staying on top of your finances. This includes keeping up with employee payroll.

If you’re not sure of the best way to handle payroll for your business, keep reading. Listed below are five tips that will simplify the process.

 

1. Hire A Professional

Payroll

When you’re running a bootstrapped startup, a lack of cash flow is often one of your biggest problems.

When money is tight, it’s easy to assume that you can’t afford to hire someone to help you handle payroll. In reality, though, hiring a professional could actually save you money later on.

Take a careful look at your budget and consider whether there’s room to hire a bookkeeper. Remember, too, that there are lots of individuals who work on a freelance basis and don’t require a full salary and benefits like an in-house employee will.

 

2. Know Your Write-Offs

Whether you choose to hire a professional or handle payroll on your own, it’s important to remember what you can write off at the end of the year.

Some payroll-related expenses that you can write off include:

  • Wages
  • Employer contributions to Medicare, Social Security, and unemployment
  • Employee bonuses and commissions
  • Benefit programs (healthcare plans, insurance, etc.)
  • Paid vacation days and sick days
  • Contract labor greater than $600

Keep track of all these write-offs so you can keep your tax bill as low as possible.

 

3. Get Technology On Your Side

Payroll

If you can’t afford to hire someone to handle payroll, at least invest in payroll software.

According to thepaystubs, there are a lot of online services that make it much easier for you to manage employee payroll.

There are lots of affordable tools that will help you generate paystubs and keep accurate records of how much your employees are getting paid during each pay period.

Don’t try to rely on memory or messily written notes to manage this information. Even the simplest software can make life much easier for you as a business owner.

 

4. Audit Your System

When you hire a payroll professional or make use of payroll software, it’s easy to assume that everything is being taken care of for you.

It’s important to audit your system on a regular basis, though.

This helps you ensure no costly mistakes are being made. It also allows you to streamline the payroll process, make sure everything is up-to-date and correct errors as soon as possible.

 

5. Get More Employee Payroll Help Today

Payroll

It’s easy to feel intimidated at first when it comes to handling employee payroll.

If you keep these tips in mind, though, you’ll find that it’s not as hard as you initially thought to get everyone paid on time.

Do you want to learn more about payroll, money management, or general business management strategies? Whatever tips you need, we’ve got you covered.

Head to the Business section of our site today for all kinds of helpful information.

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