Small Business Ideas: Using an Online Payroll Service
One thing that every business needs, no matter the size, is accurate accounting functions. And one of these functions deals with the actions related to payroll. Unfortunately, this can also be one of the most time consuming and frustrating parts of owning a business. It is important to make sure that all taxes are taken out, and if benefits are offered these need to be figured in as well. Plus, the costs and time associated with producing the checks (filling in amounts, printing, etc.) can also cause headaches when it comes to payroll functions.
The problem many small business owners encounter is that they have enough employees to make maintaining the payroll irksome, but that they feel that the cost of hiring an accountant or outsourcing to a firm is too high. This puts many small business owners in a bind. It takes away from focus on business and taking care of actually making money, but outsourcing can negate the money made by being able to concentrate more on your company or product.
One solution, however, is to make use of an online payroll service. Online payroll is rising in popularity among some small business owners because it takes away one of the biggest hassles of owning a business and it costs much less than an accountant or a traditional firm. Because online payroll services conduct most of their business via the Internet, they do not have as high overhead prices. Most just have a small office somewhere for correspondence and people who want to meet, and then pass the lower prices on to their clients.
You send all of your payroll information and then the online payroll service sets up an individualized system. You can factor in occasional bonuses, have payroll taxes figured for you, and have deductions made. Plus, many companies will issue the checks and the stubs, or facilitate the direct deposit process, if you offer that option to your employees.
As with all online companies, however, you should carefully research the company you choose. Make sure to check that the company is reputable, and that its clients are satisfied with the service. You can check the Better Business Bureau to find out about any complaints against a company. Also, there are Web sites that offer information on online payroll companies. You can even get price quotes. This is a valuable time saving tool.
An online payroll service is a viable option for the small or mid-sized business that wants to save some money, but does not feel that doing its own payroll is worth the time and trouble. By taking advantage of modern technology, it is possible to have it both ways.