What Exactly is Payroll, Anyways?
Payroll is the process in which an employer pays an employee for work done. As soon as you have your first employee, there is a responsibility to complete payroll. There are a few crucial steps that must be done before each pay period. This includes collecting employee time, calculating their earnings, and physically paying them. If you have multiple employees, this can take a significant amount of time to do manually. Most employers give out paychecks on Friday, but the process of determining payroll can sometimes start as early as Monday or Tuesday.
There are several rules and regulations that come along with payroll. These include federal, state, and local regulations. Multiple types of taxes play a role in payroll. Most employers will withhold certain amounts of income and payroll taxes such as social security, medicare, state income, federal income, and local deductions. This can become tricky to figure out if you do not have prior knowledge in this process.
Along with figuring out all the different rules and regulations with payroll, there is also pressure on figuring out the best interval to pay employees. Intervals can range from daily to weekly to monthly. There is no set regulation on the pay interval so it is crucial for a business owner to find the best interval that works for them.
Payroll can soon become overwhelming to the average business owner. That is where Jenkins CPA comes into play. CPA’s have extensive knowledge of payroll and taxation issues. At Jenkins CPA we specialize in payroll and bookkeeping services. This helps our clients have more time to spend with their business and less stress about meeting payroll deadlines. What would you do with a few days extra time each pay period? Jenkins CPA can complete your payroll services for you and give you more time doing what you love and less time stressing about where your money is going.