Is Payroll Software Scalable for Businesses of Different Sizes?
Sometimes, which means that you should thoroughly research before you invest in your payroll software. Payroll software that works well for a small business does not inherently work well for a larger one, or vice versa. Consider the size range of your business. Invest in software that corresponds to your company’s current and projected growth […]
Can Payroll Software Handle Different Types of Compensation?
Yes, payroll software can handle a variety of compensation, such as commissions and bonuses. Issue your employees’ bonuses either as separate payments or by adding them to their regular paychecks. Commissions are slightly different. Consider commission plans, commission quotas, and taxes when you calculate the exact commission that your company must pay its employees. Do […]
What are the Benefits of Using Payroll Software?
Payroll management often comes with an initial learning curve, but employers can find specific benefits if they properly utilize payroll software. The benefits include, but are not limited to: Saving Time – Focus on management tasks without prioritizing one too much over the others. Rushing payroll can result in errors and taking too long can […]
How Do I Report Income from Employee Commissions on a W2 Form?
Report income from employees’ commissions in Box 1: Wages, Tips, and Other Compensation on a Form W2. File a copy of the completed W2 form with the Social Security Administration. Send a separate copy to the applicable employee so that they can manage their taxes. Enter an employee’s commission as their income on Form 941. […]
Is Payroll Software Compliant with Tax Regulations and Laws?
Yes, you should have no difficulty finding payroll software that lets you stay compliant with all tax regulations and laws. Do your research ahead of investing in any type of software. Some payroll programs may only offer payroll compliance in certain regions, states, or countries. Make sure that a vendor provides the necessary support in […]
Does Payroll Software Integrate with Accounting Software?
Sometimes, so make sure that you conduct thorough research before you invest in your payroll software. A fully-integrated payroll and accounting system comes with many obvious benefits for companies in the short and long term. Greater Efficiency – Avoid needing to enter manual payroll data into your accounting program. Fewer Mistakes – Eliminate the need […]
Does Payroll Software Calculate Taxes Automatically?
Yes, the best payroll software can automatically calculate your business’s taxes. There are more than a few moving parts when you first learn about payroll management and how to handle your employees’ payroll taxes. Save time by investing in payroll software that can handle both FICA and self-employment taxes. The Internal Revenue Service expects most […]
How Do I Choose the Right Payroll Software For My Business?
Consider all the features, integration, and support that your business needs as you look for the right payroll software. Ask yourself the below questions before you invest in a specific program: What are my business’s payroll needs? Consider the number of people that you employ now and how you hope to grow your business in […]
Can Payroll Software Handle Direct Deposit Payments?
The short answer is, sometimes. All payroll software offers unique features and capabilities. The ability for payroll software to handle direct deposit payments is possible if you invest in a specific program. Look for comprehensive direct deposit tools if you decide that you want your company to invest in that type of payroll software. The […]
Do I Need to Send a W2 Form for Reimbursements to Employees?
Yes, you should generally send a W2 form for reimbursements to your company’s employees. Report substantiated employee business expense reimbursements in box 12 of each applicable Form W2, Wage and Tax Statement. Tax any unused expense amounts as wages. Send the W2 forms to employees so that certain ones can report excess reimbursements in line […]