You started your business, you did better than you were expecting and you’re now swamped with work. The chances are, you’ve hired or have thought about hiring someone to help you with the heavy workload you have. When you start to think about employees, it can feel overwhelming. Even if you’ve been running your business successfully for years, hiring an employee can make it feel like you’re new to the whole process.
Many business owners who hire an employee have the same question over and over: do I need a payroll?
If you’re even thinking about the question, the chances are you do need a payroll?
The good new is that payroll can be as simple as a place to keep track of the employees you have and the hours they work to a complicated software that you can use to help hundreds of employees get paid. Depending on your business size, a payroll will help you stay organized and will protect your employees.
One of the first things you should do is contact your business accountant (you have one, right? If not, the first thing you should do is find a business accountant). Talk to them about the employees you have (or want to have), the amount you’re going to pay them and what hours you need them to work. Your accountant can help you figure out how you’re going to pay them and if you can even afford employees.
From there, you can figure out what you are going to do about payroll. Most businesses start out just using their own setup and it can be as simple as a spreadsheet. Just be sure your employees have some way to keep track of the hours they’ve worked when they’re working for you. In addition, keep track of taxes and other things.
The easiest thing you can do is find an accountant who can help you with the payroll.
Many reputable business accounting firms have experience with payroll. They help businesses big and small pay their employees. The cost for their services can range depending on your location and what they are offering in addition to payroll services, but most business owners find the cost worth it.
The price is low compared to the time you will save by not having to struggle with the headache of payroll.
In addition to an accounting firm that can handle everything for you, they also know the laws on payroll in your state. They can make sure you’re in compliance and you are doing everything the right way so you don’t have to worry about what you’ll have to handle later on. Staying in compliance is important for any business owner, but is especially important for small business owners who don’t have a lot to lose.
Most companies that have employees need a payroll. Business owners may want to do payroll themselves, but it can get complicated with more employees. Instead, small business owners can benefit from hiring an accounting professional to help them with payroll.