13 Jan Five essential payroll tips
Keeping up to date with your payroll can be extremely stressful and time-consuming. This is particularly true if you handle your payroll in house. Payroll can swiftly become a nightmare for business owners, but by following our essential tips you will quickly bid goodbye to your payroll woes…
1. Do employees need to be paid hourly or salaried?
The majority of employees are far easier to manage when they are salaried. Salaries remove the stress of constantly trying to determine the amount each employee is owed each month, and ensures everyone is paid consistently and on time.
You may, however, have employees who need to be paid on an hourly basis. This is especially true of freelancers and tradespeople. Before doing anything else for your payroll, determine who absolutely must be paid hourly, and place everyone else on a salary.
2. Classify your workers
Another vital payroll element is ensuring workers are classified. Regardless of whether they are full-time, part-time, interns, or independent contractors, if someone is working for your company, in any capacity, they need to be classified as an employee.
3. Choose the best software
There is a plethora of payroll software available on the market and selecting the right type of software for your specific needs is the difference between a system that saves you time, and one that drives you insane. Consider cloud-hosted options, as they keep all your payroll information in a single, secure location that won’t vanish if your computer crashes.
4. Simplify your process
Businesses spend an inordinate amount of time on payroll, and it really isn’t necessary. If you have a simple, elegant, structured process to follow each month, it should be a breeze. Invest in good task managing software, and the best payroll software for your needs. Consider outsourcing the whole process and handing it over to professionals who can do a far better job, in a fraction of the time.
5. Factor in benefits and raises
If you’re struggling to know what to do about raises, consider implementing a benefits system instead. This is a great way to incentivise workers and makes paying them extra a simple process. Some ideas to consider are stipends earmarked for childcare, additional insurance, gym memberships, or a new laptop. These are great, tax-free options for giving your dedicated workers a bit of a bonus without a lot of complicated paperwork – and there are plenty more ideas where they came from!
Looking for help with your payroll? Get in touch today, we’d be happy to help…