What to Look for in Multi-State Payroll Solutions for 2023

Business owners know that they will likely need multi-state payroll solutions for 2023 tax year if they operate in multiple states. Calculate your employee salaries, withhold taxes and additional deductions, and distribute your employees’ payments if you manage payroll across states. These duties are standard for managing payroll in one state, but they require planning and further work if you need to comply with state-specific regulations. Whether you have multiple business locations or your business is near a border with employees traveling from different states, look for the most simplified and reliable payroll solution.

Advanced Micro Solutions offers six optional add-on modules with its base W-2/1099 Forms Filer program. Our AMS Payroll module supports its users in all 50 states, plus the District of Columbia and Puerto Rico. Learn how you can process your employee direct deposit payroll information in tax year 2023 with just a few simple clicks.


Steps for Managing Multi-State Payroll Solutions for 2023

Running multi-state payroll requires business owners to keep aware of all the relevant tax laws and regulations. Software can help you to stay compliant, but you should still take certain steps to navigate multi-state payroll taxes.

Identify Where Your Employees Work – Determine whether your business’s employees live and work in the same state. Review whether you employ workers like sales professionals and truck drivers, as these employees may work in several states and complicate your payroll taxes. Make sure to keep all of your information current for both in-person and remote workers.

Create a List of Taxing Agencies – Reference your list of taxing agencies for each relevant state, county, or municipality. Review their specific, required forms and all of their deadlines. Utilize multi-state payroll solutions to improve your business’s efficiency whenever you make deposits to specific agencies.

Stay Aware of Regulatory Changes – Know your tax codes for all of your taxing jurisdictions. Keep up-to-date with all the changing rules and schedules for tax filings and deposits. Use a payroll program to generate any of the new tax forms that may become requirements for your business.

Know Any Reciprocal Agreements – Do you have employees living in a different state from where you operate your business? Check to see if the states have reciprocal agreements with each other. It will determine whether you subject all employees to double tax withholding. Use multi-state payroll solutions to avoid making any overpayments.


How Do I Stay Compliant with Multi-State Payroll?

Carefully analyze and apply the relevant laws to your multi-state payroll process. Stay compliant when you handle wages and hours or payroll taxes and timekeeping in a few simple ways:

Stay Organized – Keep a clear record of where all of your employees work and live. Make sure to request updated information in advance to ensure that your business remains compliant.

Do Thorough Research – Review the payroll laws for your employees in different states and localities. Keep federal payroll laws in mind as you make a comprehensive list of all deadlines and requirements.

Hire Payroll Professionals – Knowledgeable payroll professionals understand how to fully utilize multi-state payroll solutions. Confirm they understand wages and hours, recordkeeping, employee benefits and deductions, employment taxes, and timekeeping across different states.

Create Comprehensive Standards – The best payroll management processes involve clear procedures and air-tight policies. Speak with your tax or legal team about how your business plans to handle multi-state employment tasks.

Use the Right System – Do not look for shortcuts with your payroll solutions. You may feel inclined to look for cheap or free software. These programs may limit you and create longer term consequences for your business’s profitability. You get what you pay for.


Why is AMS Worthwhile for Multi-State Payroll?

The best multi-state payroll solutions involve comprehensive “live” and after-the-fact payroll features. Our AMS Payroll software provides users with state and federal tax tables that you may update as you need them. Automatically calculate all of your federal, state, and local payroll taxes with efficiency and increased organization. We support more than 30 different check types and allow users to record state and federal tax deposit information, as well as disbursements.

Download our free 1099-etc Demo software today to see whether you want specific add-on modules or a full accounting suite of tools with our core product. Our additional five optional add-on modules are Software Generated Forms, E-File, Affordable Care Act Filer, Forms Filer Plus, and 1042-S Filer. Our demo showcases a fully functional version of our software, with a few minor exceptions for printing or exploring certain e-filing capabilities. Input your company’s data and access that same data once you purchase our program.

Software Solutions from AMS

Our W-2 and 1099 Forms Filer is our only required platform. From there, users pick the services they need. Choose from the tools below to build out your customized accounting software.