5 Payroll Mistakes That Could Affect Your Business

1
5 Payroll Mistakes That Could Affect Your Business
2

• As the owner of a business, it is your
  responsibility to make sure that payroll runs
  smoothly and efficiently, for your sake, that of
  your business and of course, your employees.
• Making mistakes in payroll can easily result in
  costly fines and penalties, and your employees
  will quickly begin to lose trust in you if their
  pay is mismanaged, and they do not receive what
  they are entitled to in a timely manner. To keep
  your business running smoothly, try to ensure
  that you dont make any of the following five
  payroll mistakes

3

• 1.Classifying your staff incorrectly There have
  been many recent changes in legislation with
  regards to independent contractors, many of whom
  are now classed as employees. Ensuring that your
  workers are classified correctly on your payroll
  system, will help prevent you from incurring huge
  penalties that could massively affect your
  business. Reviewing your employee contracts every
  month can help to avoid this, and keeping up to
  date with IRS classification rules is also wise.
  Hiring the services of a professional payroll
  company will help you to keep on top of law
  changes and help ensure that your payroll
  correctly classifies each employee.

4

• 2.Not filing the appropriate paperwork at the
  right time It can be hard for business owners to
  stay on top of paperwork, but when it comes to
  filing employee forms and paperwork associated
  with payroll, they must be submitted in a timely
  manner. Employee records should be up to date and
  made available for inspection, whenever required.
  A payroll service provider can help you with
  this, or you may need to purchase some office
  supplies that can help with organising paperwork.

5

• 3.Not withholding local taxes We all know that
  there are state and federal taxes, but in some
  areas of the country there are municipal or
  county taxes to be withheld, too. Setting up tax
  withholdings incorrectly can result in your
  employees being penalised, and that is never good
  for any business! Thoroughly research the taxes
  that need to be withheld, or employ the services
  of payroll professionals, who will take care of
  that for you.

6

• 4.Incorrectly calculating wage garnishments
  Depending on each employees garnishments, there
  will be different calculations to be made and/or
  different interest depending on eligible
  compensation, bonuses and commissions. Getting
  the garnishment calculations wrong can set your
  business back.
• 5.Not including all relevant details on pay
  checks Pay checks should clearly show all
  deductions and how each employees net pay was
  calculated. There are some types of accounting
  software that can help you with this, and payroll
  professionals will also be able to advise you on
  what details each pay check should display.

7

• The simplest way of ensuring that you dont make
  any mistakes with your businesses payroll, is to
  hire the services ofa payroll professional. They
  will advise you on every aspect of payroll and
  not only help you to be compliant with state,
  federal and local tax laws, but help you to keep
  your employees satisfied and paid correctly, too.

8

• Apollo Payroll is one of the premier small
  business payroll services companies in Miami and
  Coral Gables. Apollo Payroll is dedicated to
  delivering expert advice, responsive service, and
  highly accurate payroll processing and reporting
  to ensure the success and growth of the business
  that we serve. Our services include comprehensive
  online payroll services, employee background
  check and employee timekeeping services.