Why Your Small Business Needs a Payroll Service
Why Your Small Business Needs a Payroll Service

Why Your Small Business Needs a Payroll Service

As a small business owner, you have a tremendous number of “to-dos” on your plate. You know, all of those little things like building your brand and establishing relationships with customers. When processing payroll in-house is added to your list, time-consuming manual tasks unfortunately become a significant component of the “to-do” equation. You don’t have time for that, but your people still need to be paid. Instead of managing payroll on your own, you should be focused on growing your business and leave payroll processing and tax filing to the experts.

Let’s look at some of the benefits you can realize for your business and yourself if outsourcing your payroll is the right decision for you.

  1. Outsourcing payroll is a time-saver
  2. If you’re currently managing payroll in-house, you’re painfully familiar with the time and careful attention to every little detail it takes. And, as your company grows, the process becomes even more difficult. That’s time you could be spending growing your company. Making the decision to outsource payroll will almost instantly free up all those hours you were spending calculating time and making sure the appropriate deductions were withheld.
  3. You can reduce overhead

    Your time is valuable, so saving time is money in the bank. If you compare the amount of time you were spending running payroll every week to the cost of a small business payroll service, you should actually realize a cost savings.
  4. small business warehouse

  5. Your employee data will be more secure
  6. In-house payroll can also be extraordinarily risky, especially when you consider all of the employee data you maintain: Full names, addresses, salary information, and Social Security numbers. In the wrong hands, this information can lead to identity theft. If your system isn’t secure, you also run the risk of employee theft. “I’m the only one with the login and password,” you might be thinking. That’s a step in the right direction, but what about the network or server your data is housed on? Security flaws there could leave you open to data theft. When you partner with an online payroll service provider, your data will be stored on highly secure cloud-based servers that employ the latest technologies in encryption, as well as redundant data backups.

  7. Someone else manages that agonizing government compliance
  8. We’re going to go out on a limb and guess that your area of expertise does not lie in the convoluted labyrinth of federal and state government regulations; not many small business can claim that either. But that doesn’t mean you’re off the hook for missed filing deadlines or employee misclassification errors (among other compliance pitfalls). If you’re processing payroll in-house, mistakes you make can trigger a government audit resulting in significant penalties and fines. It’s impossible to keep up with regulatory changes when you’re trying to run your company. A payroll service for small business has teams that are solely dedicated to keeping up with the ever-changing compliance landscape and understanding the rules around tax and employment law. And, if mistakes are made, they’ll fix them and shoulder the liability for any errors.

  9. Most providers offer more than payroll
  10. As your business grows, you may find you’ve outgrown having nothing but a payroll service and time clocks and realize you need additional people management services.

reviewing-payroll-documents

A good payroll provider can also offer services such as a benefits program, workers’ compensation management, and HR solutions such as performance management or an applicant tracking system.

Anxiety-free payroll management

Professional payroll service providers specialize in the intricacies of government compliance and regulations, taxes, and human resources leaving you free to grow your business. At Paycor, we deliver a unified human capital management solution that includes payroll and is designed to help you succeed. Explore our solutions to learn how Paycor can help you save time, money and headaches.

Ready to learn more?

Paycor offers payroll packages perfect for small businesses. View the detailed features and pricing by clicking the link below.

View Payroll Packages

More to Discover

Webinar: National Payroll Week Webinar Series: Payroll Compliance Updates & What's Ahead in 2021

Webinar: National Payroll Week Webinar Series: Payroll Compliance Updates & What's Ahead in 2021

From new salary thresholds and social security wage increases to COVID tax relief, businesses leaders have faced quite a few payroll and tax changes in 2020. As we prepare to turn the page to a new year, what new updates are on the horizon? Join Paycor’s resident payroll expert, Arlene Baker to learn about the latest updates and what you should watch out for in 2021.Speaker: Arlene Baker Arlene Baker is a Sr Compliance Analyst with over 40 years of payroll and tax experience. Arlene is a member of the National Payroll Reporting Consortium focusing on IRS compliance. Arlene has been a member of the national and local APA for 25 years and is an active member of the American Payroll Association Hotline and SPLTF Hospitality Industry...

Terminating Employee Checklist

Terminating Employee Checklist

Letting an employee go is never easy—but when it happens, no matter the root cause, companies have to act with professionalism and follow correct procedure. It’s the right thing to do, but it’s also essential for compliance. To help you make sure everything is done by the book, Paycor is providing a checklist of the right actions to take. Download Termination Checklist How to Conduct an Involuntary Termination An involuntary termination can never be taken lightly, and before making the decision official you’ll want to confirm with your legal team or advisors that you’re following the right process. If the termination is the result of poor performance or disciplinary issues, the employee may well have been issued warnings of increasing...

How to Hire Employees in California

How to Hire Employees in California

Wherever you operate, hiring new employees means not only searching for the best talent but also staying compliant. Nowhere is this more true than in California, with businesses needing to be aware of notoriously complex labor laws, relating to all stages of the employment process.For a small business, this can seem overwhelming. How can you recruit and hire great new employees while staying compliant with numerous regulations? The good news is, Paycor can help. Recruitment Best Practice Finding star talent is the same everywhere—you need to make sure that the right people know about the open position, you need to be able to filter applications to select for the skills and attributes you need, and you want a streamlined and optimized...

Types of Wages That Small Businesses Need to Know

Types of Wages That Small Businesses Need to Know

If you’re running a small business, you’ve got a lot on your plate. Right at the top of your list of priorities will be paying employees, and you don’t have time to be confused by all the different terms for kinds of wages and salaries. If you’re just starting out in business, we’ve got you covered. Here’s a breakdown of the types of employee payments that small businesses need to know. Regular Wages Most employees receive wages as part of a regular salary or based on hourly work. Businesses will have to choose the frequency of pay periods to find what works for them while abiding by any state regulations. Salary Wages Employees who receive a salary are guaranteed a fixed sum every pay period. The pay per hour worked must meet the...