If your small business is growing and you are finding yourself outgrowing your current payroll system, it is time to choose a new one. With so many types of payroll systems, you might be overwhelmed trying to make a decision.
To make things easier, this article will discuss the three major concerns you should focus on when looking for a payroll system.
1- Online or Desktop Software
When choosing between payroll systems, you have the choice of either an online software or a desktop software. Choosing an online software allows you to access payroll from anywhere and at any time. As long as you have internet access, you can access payroll records.
If you choose desktop software, then you can only run payroll from the computer that has the software installed on it. The good thing is that once the program is installed you do not need internet access to run payroll.
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A payroll service will vary and you want to make sure that you choose one that will fit your business needs and is affordable. Make sure that you ask about all the fees, the last thing you need is any hidden fees when you receive a bill.
Read all of the fine print and do not be afraid to ask about all the fees upfront. Typically, the price goes up the more features you need.
You want to make sure that the features fit what you need for your business. You want to see the payment types offered to employees. Do they give the option of paying via direct deposit, paycheck, daily pay or a payroll card?
Another feature some businesses look for in a payroll service is depositing and filing taxes. Since dealing with taxes can be confusing, you can opt to run payroll without handling payroll taxes. This will give you peace of mind when it comes to making tax mistakes or making any late payments.
Another feature a payroll service can offer is time and attendance. It can allow you to keep track of the hours your employees work. It also allows employees to enter their hours online or allows you to enter the hours in yourself.
If your employees earn extra wages such as bonuses, tips, or commissions, you need to make sure that your payroll system can accommodate supplemental wages. Supplemental wages are taxed differently than regular wages.
The Bottom Line:
Knowing what to look for in different types of payroll systems puts you a step ahead when making a purchase decision. In order to make most out of your search , it is ideal to make a list of the features you must have and include your budget on that list.