When Should You Consider Outsourcing Payroll?
Many employers keep payroll internal because they have a system or have delegated it to an employee and believe it is running fine. But, did you know that outsourcing payroll could actually save you time, money and headache in the future?
Check out some of the scenarios below in which you should start considering outsourcing your payroll:
Know the true cost of running your business
Whether you are selling a product or providing a service, you need to accurately calculate your employee’s time and know the cost of labor necessary to make your business profitable. This allows you to see if you are spending additional payroll hours & dollars on certain products or services and try to eliminate any waste, which increases your margin. HR Ledger can help you determine employee cost against each product or service. We can help you get a grasp of where your dollars are going.
Employees in different areas
Employees in different states, counties and sometimes cities can require different calculations and reporting of taxes, not to mention sick time and time off policies. Once you nail that down, you also have to be aware of different filing requirements. Many states will now only accept electronic filing. Having HR Ledger calculate and manage this for you means you are not paying your “payroll” employee to research topics they might not know much about or even know exists. We put you back in control of your destiny.
The Calculations for Determining Withholding
Payroll calculations are complex, intertwined and tricky. Determining the federal, & state taxes may seem simple today, but now we are adding city and sometimes district withholding taxes. Next calculating the FICA taxes, adjusting for state shenanigans adds another level. As if ensuring all employee contributions for additional benefits such as healthcare, 401K or reimbursements are accounted for wasn’t difficult enough, now you must make sure that your highly paid employees are having their social security capped at the maximum for the year adds to your burden. Unfortunately, this is not a set it and forget it task, tax tables are changing, more regulations are coming and agencies are looking to put more accounting rules on employers Keeping up with all this is part of the employers’ nightmare.
Missing Deadlines is Expensive!
Keeping track of all the deadlines associated with federal and state and city withholding, FICA taxes, unemployment, workers compensation, and individual state payroll options can be a detailed and difficult job. Missing a deadline can cost your company in fines and penalties. Now add to that the requirement for ACA fillings, Sexual harassment education and other requirements depending on your employee count. Outsourcing all this to HR Ledger means you have more time to concentrate on growing your business and leave the worry to us.
Payroll isn’t just payroll anymore. Understanding your true cost of goods sold, avoiding fines, filing everything on time and correctly, and reducing the cost of having an internal payroll processor are all reasons employers decide to go with HR Ledger as their payroll processing company. At HR Ledger we care about you and your company. It is our business to be responsive and develop a relationship with you; we want you to know you can pick up the phone and talk to a live person at HR Ledger who will address your questions right when you need it. Even if you only have one employee, reducing the time and hassle of dealing with all these legalities is worth your peace of mind. Our desire is for you to not only be successful but to thrive!
HR Ledger can help.
Through our payroll system, we can schedule, automatically archive and keep your payroll records for you.
This is already included in your payroll agreement with HR Ledger and is no additional cost. Please call Malcolm or Scott today at 800-451-1136.