Whenever I talk to a small business owner, I insist on one function they should always outsource: payroll. Sometimes they are argue with me. They say they only have a few employees and it’s not worth the cost of having someone do their payroll. I am here to tell you- it is!
This area is so complicated and both the employee and the government insist you get it right. The price for messing it up and not following the strict rules is huge. I know since I made this mistake in my own company and paid a high price for it.
With payroll, not only do you have to deduct money from the employees’ paychecks to remit to the government, but as an employer, you need to add to it. Plus, you need to send this money to various government departments on a regular basis. If you don’t, they will hold you personally liable for it.
Outsource your payroll from your very first employee. It’s that important. Not only will the payroll service draw the correct deductions from employees paychecks and send money to the governments, they keep track who was paid when as well as their earned vacation time. They also keep track of the ever changing rules by state. counties and cities which keep growing!
That’s why I recommend the new Square Payroll App because they make it easy:
- With this App you can do everything from setting up an account to paying your team.
- It is fully integrated with Square payments and timecards for W-2 employees and contractors
- Square takes care of your tax withholdings, payments, and filings at no extra cost
- There is flexible and transparent pricing that scales with your business
So check out Square Payroll and let me know what you think.
With everything else on your mind, processing payroll is something you should never think about!
