Payroll management is certain to be a vital part of your business. Oftentimes, business owners are bound to decide if a cloud-based online payroll service is preferred or if managing the payroll in-house is a better option. Granted, both options have specific pluses. Still, it is important to note the challenges that arise when you decide to take up the DIY option.
Time and Efficiency
Doing your payroll processing in-house may offer a substantial level of convenience and security, but it does cost you something that you may not be getting back — time. Do you have the necessary skills and resources to enable you do DIY payroll processing both on time and efficiently?
To be efficient, you have to keep accurate records, make no error when performing pay calculations, and ensure that payment processing go hitch-free (at least from your end). Doing all of these takes time. More importantly, it will almost definitely take you more time than it would take an expert or a cloud-based platform to perform the same payroll processing task.
Managing Complaints and Inquiries
With using an online payroll service, feedback from employees are forwarded to the provider. When you choose to perform payroll processing in-house, you receive the feedback instead. These are not necessarily bogus questions, but they can easily reduce your productivity on a specific work day. That is if you want to maintain good employer-employee relationships and have satisfied employees.
Questions you are likely to receive include:
- I want to change my payment method, what payment methods are available and how do I go about it? Plus, what are the payment processing charges?
- I believe my paycheck has an error and I want it fixed, how can I deal with this?
- How will I receive compensation for overtime hours?
- I see too many deductions on my paycheck. Can you give me an explanation?
In adverse cases, a disgruntled employee may even seek legal redress if they think they are unfairly treated in terms of compensation matters.
Going through and understanding IRS guidelines can be perplexing if you do not have prior experience. The IRS “Payroll Professionals Tax Center” does make things more glaring.
Then there is the important need to stay on top of any new changes to the IRS regulations. These changes occur frequently, so you have to be on top of things or risk facing costly penalties, should you fail to comply with updated IRS guidelines.
A Better Option – TRAXPayroll Online Payroll Service
A cloud-based online payroll service has well-optimized infrastructure that seamlessly carries out the clumped calculations of payroll processing. Other integral segments of payroll processing like payment processing can be automated conserving time and increasing efficiency. An online payroll service also has experienced team members who have an in-depth understanding of payment processing for establishments of different sizes and complexities. They also can keep up better with ever-changing IRS regulations.
Relying on an online payroll service will handle associated feedback from employees better by providing better detailed explanations and knowledgeable support from industry professionals. Talk to us if you want to know more on how we can eliminate your payroll challenges.