It's smart to reconsider how accurate your company's payroll and tax forms are each year, because the IRS charges steep penalties for everything from inaccuracies to missed deadlines. You may end up having to pay approximately 10 percent of your total payroll payment bill for mistakes, and interest begins to accrue promptly on these fees.
Rather than personally worrying about payroll, employee W-2s and other tax-related issues, why not hire professionals? Here are three benefits resulting from having a professional payroll team on your side.
Without having to hire a payroll department that works exclusively for your company, you have fewer employees to deal with and thus save money in salaries and benefits. You also never have to worry if your bookkeeper is sick or needs you to sign off on checks or other items—authorized parties will get all of this done for you quickly and efficiently.
When a professional payroll company comes in to tackle your payroll tasks, it takes a huge burden off the table for you in terms of time, too. You can skip the employee training on new kinds of software, company procedures and compliance, etc. An outside payroll expert will know how to deal with your filing needs in a professional and organized way.
2) IRS Policy Compliance
The main concern that many businesses (rightly) have is that of compliance with the IRS in terms of laws, fees, correct forms for filing, etc. When you hire a company that specializes in payroll, you don't just hope the person is an expert in taxes—you are guaranteed that they are. Payroll isn't an easy task to deal with, so it is important that the computations are done accurately and in a timely fashion.
Some things that a professional payroll company can assist you with include W-4 amendments, FICA social security tax law, flexible savings accounts, retirement contributions and much more. No matter what the accounting or payroll-related issues are, you can relax and know that your business is acting in compliance with all complex tax laws.
3) Cost Effectiveness
Another huge benefit is the cost effectiveness of hiring payroll companies. Not only do you save time (and thus money) in not having to perform payroll duties personally, you also save time by having these things done correctly the first time.
If you need someone to perform payroll processing for your company, call payroll tax attorney Allen Barron toll-free today at 866-631-3470 for a free consultation.