Does it make sense in this day and age to outsource your payroll? If you are a small business owner, you may think it doesn’t make sense to hire a payroll company because you don’t have that many employees. You should reconsider. Small business payroll processing is more complex than you think. If you take into account the need to keep track of payroll taxes, withholdings, and tax deadlines, you will soon be asking where can I hire a payroll service provider near me in Florida? In this article, we will look at when and how to outsource your payroll.
Payroll Taxes for Small and Mid-Sized Businesses are still complicated
Let’s start with an important fact: it doesn’t matter if you have one employee, 10 employees, fifty, or a hundred, you still have to deal with the taxman. Regardless of the number of employees that you have, it is essential that you are prepared to keep track of their earnings and their withholdings. Consider for a moment what must be done for each of your employees.
Small Business Payroll Processing: Step by Step
You start with your employee’s W-4 form, which indicates their desired tax withholding. Remember that they can change that as often as they want! Then you must also keep track of their state withholding, which is on their state W-4. Don’t forget that you also have to figure out FICA taxes on wages at 7.65%. Have higher earned employees? Make certain their social security withholding is capped at the yearly maximum, and withhold the additional Medicare tax. If you have employees in multiple cities or states, you must also keep track of the taxes for those localities. Starting to think that you should hire a payroll outsourcing company near your area in Florida now?
What are the options for Small Business Payroll outsourcing?
There are many companies out there that offer SMBs payroll processing services. Some are small businesses themselves and some, like Paycheck and ADP, are larger. They offer services like filing, direct deposit, and cutting paychecks. They help you keep track of withholdings and tax deadlines. Most payroll providers charge a basic fee for the service with a small, incremental fee per employee. There are also self-service payroll tools, such as Intuit, online that you can use yourself. The IRS also has information on payroll service providers that you can look up.
Time to hire a Payroll Service Provider near me?
Even if you only have one or two employees, it can still be highly advantageous to hire a small business payroll service provider near my area. To begin with, you will save yourself a great deal of time. The time that you can better spend on business and clients. If you are producing a product, it will also help you determine the cost of labor for your product. A payroll service provider also helps you avoid penalties for filing late or making mistakes on what is owed. Both can be costly. Remember that you are always responsible for unpaid federal taxes if you own your company. Outsource your payroll today and have confidence that your company’s payroll is in good hands.