If you have employees, you are aware of your responsibility to file payroll taxes on time and accurately. These days, your business has several options on how to file those taxes. Here are the four major ways available for employers to file their employer taxes.
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Manually produce and file tax forms.
Whether you are keeping track of information in a spreadsheet style format or on paper, you have the option of taking that information and manually typing it onto tax forms. You purchase the forms, and must type your tax information onto the form with a typewriter. This option is used less and less because of newer and more convenient options. However it may be the only option for those who are unfamiliar with computers.
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Outsource tax form generation and filing.
Some companies are more confident knowing there is an outside service, many of which offer a guarantee their taxes will be filed accurately and on time. While there may be added expense associated with this method, some companies find the added expense is worthwhile because of reduced worries. To outsource your payroll taxes, you can choose to have your accountant do it or use a payroll service.
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Print and send forms with information generated from your payroll software.
This is more convenient than the manual method of producing tax forms because you pull information that has been entered into each pay run along the way. Not only do you have the information available at your fingertips, but you can populate a form within the system and print it on plain paper, saving you the time and expense of purchasing forms. Once the information is generated and placed on the electronic form within your system, you just print and send.
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Generate and file forms electronically.
This is by far the fastest and most convenient option! Information for tax forms is pulled in directly from the information entered from pay runs along the way. That information is then seamlessly placed onto the form on your computer, where forms can be saved, and can then be filed electronically via the internet. With this method, there are no stamps, forms or envelopes to be purchased. Also, filing happens instantly so there is no time delay for the mail.
Searching for accounting and payroll software for your business is not always a fun or easy experience. There are simply so many products out there; it can be hard to know where to even begin. The nice thing is though, we are in the digital age, and some really smart people have come up with Web sites to help you find the right product. Here are some of the Web sites I find most useful for narrowing down your software search, so you take a huge step in the right direction and save considerable hours of frustration!
This is an excellent Web site for finding all varieties of business software! First, you select the type of software you are seeking, and then you narrow down your search by checking criteria specific to that software. You can also narrow your search by location, revenue, number of employees and your budget. Capterra has put great care into making their site user-friendly and practical for any business software search, including accounting and payroll software.
Here’s another great Web site for your accounting and payroll software search. You can go in and browse software by application (general ledger, accounts receivable, etc.) or by industry. You can also fill in a quick, three-step questionnaire and/or call to speak with a software specialist to have vendors receive your information and contact you. This service is free to software searchers. They do a fabulous job of asking the right questions and finding you appropriate products that fit your budget and requirements.
This web site is very useful if you are trying to find reviews about a software company you are researching. User reviews are verified, and you can get some additional information about the products you are interested in as well You can search for products by feature(s).
Of course, this is the Red Wing Software blog, so we want you to know that WE have excellent accounting and payroll software for growing businesses. We do like to talk to each potential customer to be sure we have a fit for their organization, before selling them our software. To talk with a Red Wing Software product expert, call 800-732-9464.
So you’ve done your research and now you have narrowed down your search for payroll software to a few products. When it’s time to run the free payroll demonstration you’ve downloaded, how do you best spend your valuable time? After all, trying out several different payroll downloads can be time consuming. Use these tips for using your time wisely, and you will get the most out of your payroll software download.
Perform daily tasks.
Let’s face it: marketers like to promote all of the coolest bells and whistles available. However, the point of downloading the payroll demo is to understand how the program functions and whether it can handle the unique payroll needs of your business. So instead of clicking around trying to find the ‘cool stuff’ you may have seen in a brochure or online, focus on the basics. Set up a few new employees and his/her earnings and deductions. Generate a pay run in all the methods you use, hourly and salaried, etc. If you use a time clock, check out the import function. Then test print your pay checks or generate the test pay advice for your direct deposit. Have a look at the tax filing process and see how that works. Go in and run a report or two, and see how easy it is to get the information you need. If there are payroll software deal breakers for your company, such as minimum wage tip calculations for a restaurant, be sure to find out how they operate in relation to what your company needs.
See proof of critical functions.
Remember those bells and whistles? Well, what might be a luxury to one company is a critical function for another. Before you start your testing, write down which of these critical payroll software functions are necessary for your business. If you are unable to find and use them during your testing process, be sure to have your sales rep show you first-hand how they work in relation to your business. This will require you to explain how your company needs them to work, which is not only a surprisingly good way of organizing your own thoughts, but also ensures you see first-hand that they will work specifically for your company.
Keep track of questions.
During your payroll software testing, you will most surely have questions along the way. Instead of letting them become frustrations, simply write them down with the goal of sending them to the sales representative to do their job and answer them. A good sales rep will answer your questions in a timely manner, so you can get on with your testing process.
Remember, once you get to the payroll software download, the hardest part of your payroll software search is over. Use these tips to perform more efficient testing, and you will save time and be confident in your payroll purchasing decision.
If you are in the market for new accounting software, you have surely considered at some point that there will be a learning commitment involved for all of the employees who will use the system or generate reports from it. Moving to any new system can be challenging, so be sure to minimize frustrations by having a training plan in place before purchasing the software. Here are the most popular training options offered by software vendors.
Classroom Training
Many software vendors will schedule and plan for classroom style training, whether at their own site or at a remote location. The benefit of live training is that you can interact with the instructor along the way, posing specific examples or requesting clarification on certain topics. Classroom training can be a very effective means of learning a new software program; however it can be hard to get away from work, and there may not be any classes near your location. For this reason, more and more software companies are offering alternative training options.
Training at Your Site
Holding training at your own facility can be extremely helpful, since all applicable employees can be in attendance, and the training is tailored to your own needs. Some software companies will send staff to your site, or they may suggest a partner who is in your area. While on-site training is an excellent option, it typically costs more than any other training option.
Online Training
With the growth of the internet came the useful addition of online software training. This type of training is excellent for those who don’t want employees away, and also for those who want employees to learn the software a little at a time instead of spending a whole day. Of course the cost of such training is also considerably less than other options.
In Program Help
In program help is available in most software programs. Just click on ‘Help’ or else simply press the F1 key (in most programs). Help topics will typically come up based on where you are within the program. This may not be the best way to learn how to use the whole program, but it certainly comes in useful when you have a question about a certain function, or want to learn how to use something new.
Managing payroll seems fairly simple when a business starts up, but once a company grows and must manage the payroll for multiple locations, things become exponentially more complex. There are several locations, employee types, departments, and more that must be managed and maintained. And then there is the method of distributing pay to employees at all locations. Payroll software can help you manage this process and make multiple company payroll run like a top. Consider these tips for handling payroll for multiple companies.
Track employee locations.
Set up your payroll software system to track employee locations by profit centers, departments, companies, or a combination of these. Then when it's time to run payroll reports, you can filter out the area(s) you have tracked. For example, you could see the pay by department in one location, or your payroll costs by profit center, etc. This is also helpful for check printing, since you can print all your pay checks and sort by department and employee, or print paychecks for employees by the company they work in, which makes distribution much simpler.
Run payroll for multiple departments under one company.
If you are a single employer with multiple locations and want to run payroll for each location, setting them up as companies under one employer or by department can be extremely useful. This allows you to post the payroll data to the appropriate account, so you can keep track of expenses by location, and more. For instance, departments could be used across companies, so you could have an "office" department that could be used by all companies. Then when you process payroll, you can filter out and pay all office departments from all companies and pay them in the same pay run.
Pay employees via direct deposit.
By setting up your employees to be paid via direct deposit, you eliminate the worry of having to mail or deliver paychecks to multiple locations. Pay is simply deposited into employee accounts on pay day, and they receive a direct deposit pay advice, which is a sheet of paper representing their pay stub. Make things even more efficient by offering your employees the option of receiving and accessing pay advices electronically.
Take the time to learn more about what your payroll software has to offer, and you may just find ways to make your job of running payroll for multiple companies a simpler and faster process.