Payroll. It is probably a business owner’s least favorite part about operating a business. But why is this the case? Well, there are a handful of reasons. We like to think that there are 5 big topics that scare a business owner or HR manager when they think about the word payroll and how it applies to their business. Let’s take a look at why employers fear payroll.
Fear #1: Payroll is tedious
The first reason is that many people believe that payroll is extremely boring and tedious. There are a ton of nuances and rules to know to consistently pay your employees in an accurate and timely manner, all while keeping your business compliant with federal and state regulations. This is true – payroll is a bear. There is a ton of meat on the bone. But, at Paper Trails we are really good at the boring stuff. Not only do we focus on making sure your employees are paid accurately every single payroll, we spend countless hours training and educating our staff, and our clients, on the latest rules and challenges to ensure compliance for your business. There are countless challenges such as payroll deductions, wage garnishments, taxes, blended overtime rules, W2’s and 1099’s. We could keep going and going. Our team of experts can take those worries off of your plate.
Fear #2: The IRS
Taxes and the IRS are scary, right? Well, not to us. Knowing which payroll taxes employers must withhold from their employees and which they must match, as well as tax filing limits and deadlines, and more can intimidate even the savviest of business owners. Luckily, we are well equipped when it comes to payroll taxes and will ensure your taxes are filed both accurately and timely. Sometimes, businesses will receive those pesky notices from the IRS. When this happens, our team is here to help you deal with them.
Fear #3: Outsourcing is too expensive
The third reason payroll, and working with a payroll vendor, scares many business owners is the fact that they believe that outsourcing payroll is too expensive. While it’s true that using a vendor for payroll services is not the cheapest expense your business will encounter, there are many benefits to using a payroll vendor. Your business will gain access to a trusted and dedicated expert to work closely alongside you. They know about all those nuances of payroll and the compliance challenges that come along with all those state and federal policies.
Your business will be able to use an extremely powerful payroll platform, in our case isolved. Once configured to fit your business’ needs, payroll software can make payroll a breeze. These payroll software’s also have additional HR tools and services, such as timekeeping or onboarding, that can be added on and integrated into them, saving your managers time and headaches. Furthermore, many of these platforms have an intuitive employee facing mobile friendly experience that will empower your employees to take their payroll and HR needs into their own hands.
Even when taking the cost of all of these services into account, a business can still save thousands of dollars by outsourcing. For example, when a company doesn’t outsource their payroll, often they must hire an additional administrative staff member to complete these payroll tasks. Payroll specialist salaries can range anywhere from $40,000 to $60,000, much higher than you will spend on a third party payroll vender.
Fear #4: Inadequate customer service
The fourth fear business owners have regarding payroll and payroll vendors comes with dealing with customer service. People say to us all the time that they aren’t happy with their current payroll provider because they have to call an 800 number and be put on hold just to talk to a customer service rep about their issues. At Paper Trails, we pride ourselves on treating our clients like neighbors, not a number. We do not have an 800 number and can be easily reached by phone during normal operating hours – which means no waiting on your end.
Fear #5: Making a switch
So far, we have tackled the fears that payroll is boring and tedious, that taxes and the IRS are scary, that outsourcing payroll is too expensive for your business, and that the customer service of many of these payroll companies is lacking.
Well, finally let’s talk about switching payroll companies. Many business owners and HR managers have a fear of taking that leap and making a switch, especially midyear. They think there is too much data to transfer, too many hoops to jump through, or that there will be a disruption in your employees’ pay. Our team goes above and beyond to work with your business and its’ needs. We are in the people business, so it is our goal to learn as much as possible about you and your employees, ultimately leading to the continued success of your business. We will work with your previous payroll provider to transfer as much information about your business, your employees, and your historical payroll that we can. Most importantly, we will work to ensure that your employees do not see a disruption in their pay or that your business does not miss a beat.
What businesses should do next
So there, you have it. The 5 main fears that people have when they think about payroll and how it affects their business. We hope that we have put your mind just a little more at ease when it comes to payroll and have made running a business that much less stressful for you. Feel free to contact us for more information on how Paper Trails can help your business.