Did you know that 25% of small businesses use pen and paper to track finances? If you are part of this 25%, it’s important to get with the times and reduce your financial risk.
When you opt for services like payroll funding, you better your chances of staying financially compliant. Not sure why you should consider this service? Keep reading to find out.
1. You Don’t Want to Hire an Accountant
If you don’t have the budget for an in-house accountant, payroll funding services might be right for you.
Paying a bookkeeper or accountant is far more expensive than outsourcing payroll services to manage taxes and payroll.
Automated payroll services prevent you from needing to hire extra employees. This frees up time internally so you can focus on other business necessities.
2. You Want to Run Your Payroll Online
If you are still processing payroll with loads of paperwork, it’s time to end that. Moving payroll processes online comes with various benefits that include the following:
- Payroll processing automation
- Digital employee attendance tracking
- Payroll reports
- Electronic payment methods
- Online employee portal
- Electronic W-2 forms
Most payroll services are customizable so you can change the dashboard to fit the needs of your business.
3. You Worry About Tax Compliance
No matter the payroll options you choose, it’s essential to stay tax compliant. If you want to avoid IRS penalties, you can outsource business payroll to avoid errors in tax filings.
Calculating payroll taxes is complicated and it’s easy to run into human error. You’ll need to keep up with changing tax compliance laws to avoid incurring additional fees and penalties.
You avoid the complications of tax calculations with automated payroll services because the services will calculate taxes for you.
4. You Want to Track Employee Attendance
There are only certain types of payroll systems that allow employee attendance tracking. A payroll service that allows you to keep records of employee time and attendance makes it easier to track data with the payroll system.
Businesses that employ contractors, freelances, or any hourly employees will find tracking employee attendance digitally especially useful.
5. You Want to Integrate Payroll and HR
Payroll services offer the option of streamlining payroll and HR needs in one place. Most business owners require payroll and human resources to help run their business each day.
When you choose a payroll service with HR administration, you benefit from the following:
- Insurance services
- Benefits management
- Labor compliance kits
- Recruiting and onboarding tools
A lot of payroll services deal with HR for you so you can free up more time and further save on labor costs.
Staffing agency payroll can help you with late customer payments as well.
Do You Need Payroll Funding?
If you are experiencing any of these tell-tale signs, you might need payroll funding. Payroll services can help automate time-consuming payroll processes and help you track employee attendance.
It can also help with tax compliance and save you money in the long run.
Use this guide to decide if you need payroll funding services and keep coming back to this blog for more business tips.