Great Ways to Process Payroll Checks
Having an easy-to-use system in place to process payroll checks is essential for any business. Let’s look at some of the best ideas to make this easier.
How much time are you spending on processing payroll checks?
For HR professionals, that number could be as much as 18% of the time. That doesn’t include time spent on benefits, keeping up with tax code changes, or processing paperwork.
Small business owners spend between 25% – 35% of their time on payroll and other HR related tasks.
In either case, that’s a lot of time spent on payroll checks. If you’re looking to cut down the time spent on payroll, stay tuned.
These are the top three ways to make payroll easier.
1. Cut Down on Payroll Processing Time
Most companies prefer to keep payroll in-house. They can do that, but they have to look at how much time and resources payroll takes.
A lot of that time is spent on calculating the proper amount of deductions.
You can also use a free pay stub template that generates all of the information on the paystub for you. All you have to do is print a check.
2. Look to the Cloud
Accounting and bookkeeping services are moving to the cloud. These systems are completely integrated to handle HR, bookkeeping, invoicing, and payroll checks.
Usually, these systems are costly to purchase, but they’re even more expensive to maintain.
That’s because everything would be stored on computers locally.
You’d have to buy the computers that are capable of handling these systems and you or someone on your staff would need to have IT knowledge to maintain them.
With cloud computing, these systems are stored on servers that you can access from anywhere you have an internet connection.
You don’t have to buy a bulky software package or pay to maintain the hardware. You typically pay a low monthly or annual fee to use the software.
These systems have evolved to make payroll faster and easier. You just enter the data, and that information is sent to the IRS and to the banks for direct deposit.
3. Outsource Payroll Check Processing
One last solution is to outsource payroll altogether.
For a cash-strapped business, this may not seem like the best solution. Think of it this way. If you spend about 25% on payroll and other HR related tasks, how much business are you actually losing?
You don’t have the time for business development, so making this investment will free up your time to generate business.
Payroll packages cost anywhere from $25 to $200 a month, depending on how many employees you have.
Minimize Payroll Checks Mistakes
Tax laws are always changing. As a small business owner or HR professional, you have to stay on top of those changes.
By using the right tools or outsourcing payroll, you can steer clear of mistakes that could cost your business money.
Not only that, but you can dramatically reduce the amount of time spent on payroll checks.
Running a business and managing employees isn’t easy. Atyourbusiness.com is at your service to help you navigate the world of small business.
If you have questions related to running a business, check out our blog on entrepreneurship.