For what reasons could you want to contract outside help?
Payroll errors cost 30% of business owners IRS fines. New Jersey’s Department of Revenue charges business owners similarly each year. A competent payroll processing solution ensures IRS and New Jersey compliance.
Even if you conduct payroll processing correctly, you are wasting your most precious resource, time. Second, it saves time. Even if you delegate the work to an employee, you should still be attentive because your time is worth money to your organization. Payroll processing time costs your firm money. You must cover their salaries, employer taxes, workers’ compensation, and other benefits.
You risk fraud. Smaller companies lack controls for financial accounts, check-writing privileges, signature stamps, social security numbers, addresses, and other personal information, making internal payroll theft more likely. The third benefit is peace of mind that your employees will be paid on time and your taxes will be filed accurately and on time.
Therefore, how do we go about choosing a payroll services provider?
Before choosing a payroll service, it’s important to think about the following five factors.
1. Financial Protection
It’s important that you have proof from the payroll service you’re using that they are bonded and insured. If the payroll service you go with makes a mistake, you want to know that they’ll be responsible for making things right and compensating you for the trouble.
2. A Plan for Emergency Preparation and Data Storage
In the event of a disaster, ask the company that processes your payroll what measures they have in place to ensure the safety of your employees. To what locations do you regularly back up your data? In the event of a disaster, how quickly could they resume operations?
3. Having a focus on customer service
It’s more likely that you’ll remember the person who handles your paycheck than the salesperson who brought you the merchandise. Find out who will be in charge of handling payroll for you. Remember that the salesperson’s job is to make a sale and that they have received extensive training to accomplish so. If you want to know how well you’ll get along with the specialist you’ll be working with, and how much expertise they bring to the subject, you should definitely ask to have a chat with them. Find out who their current clients are and ask for references. Determine whether your specialist is working on a temporary or permanent basis.
The larger payroll companies typically employ data processors and call centers. Take into account if this is the kind of help you need. You should feel at ease and confident in your specialist’s abilities to quickly address any problems that may crop up.
4. Charges and premiums
A major change in the payroll industry that has occurred over time is the adoption of package pricing rather than a la carte options. Most payroll providers will offer you a single, all-inclusive pricing every pay period based on your company’s size and the regularity with which you pay your employees. Delivery costs more, and so does handling your W2s and other year-end paperwork. There is a lot of rivalry in the payroll industry today, so be sure to ask the salesman about any available discounts and their expiration dates.
Some of the most well-known national payroll providers and franchises will present you with a free trial period, a discounted rate, or an incentive for signing up. Warning to potential purchasers! Promotions stop, discounts are discontinued, and price increases occur on an annual basis. It’s important to remember that the salesperson is only getting paid if you complete your payroll and not if you stay with the firm. You should ask that they email you a written copy of the agreement for your own protection. If you want to show your team can think beyond the box, have them gain approval from their direct supervisor as well.
5. Employee and employer benefit systems integration
Most companies that offer payroll services also offer things like online access for employees, pay-as-you-go worker’s comp, 401(k) plans, HR solutions, health insurance, and time and attendance tracking. Selecting a payroll services NYC that can keep up with your company’s growth should be a top priority.
By following these five simple steps when selecting a payroll service, you can help your business save both time and money.
