Payroll software integration happens when you sync your payroll system with other software, for instance, with an accounting program. It saves you from having to enter the same payroll information into two separate programs and even allows your employees to do some of the work for you. Payroll software commonly integrates with HR, time and…
Gusto vs ADP 2020
Compared to ADP, Gusto is more affordable and caters to smaller businesses that are mostly concerned about paying their employees and complying with payroll tax laws. ADP on the other hand has a flexible platform that supports growing businesses with payroll and HR needs that may evolve in the near future. They both give you…
What Is Payroll?
Payroll is a process where the employer pays its workers, applicable tax agencies (including the IRS), and vendors that are under contract to provide employee benefits. In some cases, such as a court garnishment order, it even includes withholding money to pay an employee’s creditors. Handling payroll the right way is important. Employers must perform…
1099 vs W2 Employees – Which is Better?
When it comes to hiring new workers, business owners can choose between independent contractors and employees. Contractors have more independence in how they conduct their work but aren’t protected by labor laws, such as minimum wage. They also receive different tax forms (1099 vs W2) to report their earnings to the IRS because employers don’t…
Payroll Records: What to Keep & How Long to Keep Them
Payroll records are documents with any information about a company’s payroll, including data about employees, paychecks, and taxes. Per federal law, you should retain payroll records for three years and payroll tax records, such as unemployment taxes, need to be kept for four years. States such as New York, and agencies such as ERISA (governing…
How to Calculate Payroll For Employees
Before hiring employees, spend time learning how to calculate payroll for your business. It’ll save you time from having to correct errors and thousands of dollars in penalties; you might even experience lower turnover by eliminating paycheck frustrations. You can perform calculations manually (hours worked X pay rate), using an online calculator, or with software….
21 Payroll Terms Every Employer Should Know
When you’re new to payroll, the lingo can sometimes leave you confused. It’s important to invest some time into learning the most commonly used payroll terminology, so you don’t make any weird (and potentially costly) mistakes such as assuming we know what minimum wage is exactly and how it’s defined. The top 21 payroll terms…
How to Do Payroll in Excel in 7 Steps [+ Free Template]
Doing payroll in Excel is best for businesses that need to pay 10 or fewer employees and operate in states without complex labor and tax laws. To save time, use our payroll Excel template with pre-filled information like tax rates and overtime formulas. Automation helps streamline payroll, whether you use a template or payroll provider….
How to Choose a Payroll Service for Your Business
There are a lot of options available when choosing a payroll service. You may be researching everything from payroll software to bookkeepers. When selecting a provider, consider the size of your business and the complexity of payroll operations. In our list, we explain the different types of payroll services available, so you can make the…
Post-Tax vs Pre-Tax Deductions: What Employers Should Know
The primary difference between post- and pre-tax deductions is the time at which employees are required to pay taxes on them. Pre-tax deductions, like some retirement contributions and insurance premiums, are amounts you subtract from the employee’s earnings before computing taxes, driving the tax bill down for both you and your employees. Post-tax deductions are…
Payroll Forms Employers Need
Regardless of how many employees you have, payroll forms are a necessity. Most employers need the regulated payroll tax forms required to maintain good standing with the IRS, like W-4 forms for new hires. Other, less structured forms can also be useful in helping to better organize your company’s processes—for instance, direct deposit authorizations. Payroll…
How to Conduct a Payroll Audit [+ Free Payroll Audit Checklist]
Conducting a payroll audit helps ensure your payroll process complies with labor and tax laws. Further, regular payroll audits reduce occurrences of fraud, embezzlement, and wage theft. You can strengthen your financial controls and address potential issues using our free customizable payroll audit checklist that covers how to conduct a payroll audit step-by-step. , which…