Payroll is a huge part of your business. If your employees are the muscle of your business, payment is the blood \u2014 it\u2019s what keeps your employees working. If there\u2019s a problem with payroll, your employees will let you know about it fast. It is very much in your interest to keep business payroll mistakes to a minimum. Unfortunately, sometimes they do happen. Here are three payroll mistakes to avoid, as well as some tips on how to fix payroll problems when they occur.<\/p>\n
Get A Quote Today! <\/a><\/p>\n This is often one of the most significant business payroll issues you have to face. It would seem that keeping track of your employees would be easy, but one typo in a person\u2019s name, being a year off on the date of birth or failing to note an address change can result in missed payments, IRS discrepancies and other costly and time-consuming complications.<\/p>\n It\u2019s also incredibly important that you correctly establish whether a worker is an actual employee or an independent contractor (W-2 vs. 1099). These are very specific classifications with major tax implications, so it is vital that you get this right.<\/p>\n You can avoid these problems by first making sure whoever is responsible for inputting new employee information is a very diligent, careful person whose work is double or even triple-checked. Secondly, you need to make sure you know the differences between employees and contractors.<\/p>\n Contractors are not eligible for overtime and have a specific timeline for how long they will work for you. They file with a 1099. Employees can receive overtime and have a set salary and specific expectations about when, where and how they work. They file using a W-2.<\/p>\n The last thing you want is to pay your employees late, especially if the company coffers are full. It undermines employee confidence in the organization, lowers morale and can even get you into trouble with the government. Avoid this by making sure you have a reliable payroll system in place that automatically pays out at the scheduled time.<\/p>\n Another considerable payroll challenge you will have to face is tax issues. You must make sure you are paying the right taxes in full with regard to all your employees. You must submit the proper forms, and they must be error-free. You must have access to records to back up any filings you do with the IRA and be able to present them when needed. Any failures in these areas could subject your business to serious fines and penalties.<\/p>\n The way to avoid this problem \u2014 as well as the others mentioned above \u2014 is to work with an experienced, professional third-party payroll manager like BCM Payroll Services, Inc. We are a premier payroll services company<\/a> fully equipped to manage all your payroll needs, including adding new employees, scheduling payments and making sure you pay all taxes correctly and on time. In fact, in the highly unlikely event you are penalized because of a mistake we make, we\u2019ll pay for it.<\/p>\n1. Misclassifying or Misidentifying Employees<\/h2>\n
2. Paying Late<\/h2>\n
3. Tax Issues<\/h2>\n
Contact BCM Payroll Services, Inc. for More Information<\/h3>\n