For the most part, the day-to-day life of a small business owner is dynamic, fast-paced, and constantly changing. There are always a million and one things to oversee and take care of. One of the less fast-paced and exciting aspects of being a small business owner, however, is the constant barrage of paperwork and protocols to stay on top of.
One aspect of this is payroll management. The necessary and painstaking process of ensuring all of your employees are paid in full and on time. For the uninitiated, managing payroll is at best tedious and time-consuming and at worst best complex and confusing.
If you’d like to refine and improve your payroll management process, these tips can help. Read on for a simple guide to small business payroll.
1. Have a Set Process in Place
When it comes to tasks such as payroll management, it is always best to have a predefined process in place, to ensure that you cross every “t” and dot every “i” each time. It can be a good idea to have a set day and time to tackle it, so you don’t end up putting it off. When a new employee starts, make sure to input them into the payroll management system right away.
2. Have a Consistent Payment Schedule
Speaking of set times and days, if you do not already, it is a good idea to set a uniform payment schedule for your employees. Whether this is once a week or once a month, keep it consistent—both for your benefit and theirs. Make sure employees are aware of the schedule once it is set to avoid confusion.
3. Utilize the Latest Technology
For all of your payroll management needs, technology is your best friend. It can be a good idea to do some research about what types of tools you might benefit from using. Things such as a paystub generator or an online payroll management system can make your life a whole lot easier.
4. Always Double Check All Information
When you’re dealing with employee information, it’s essential to be precise and accurate. This goes for calculating wages, adding bank account details, and entering personal information. Always double and even triple check the information you have is accurate, to avoid mistakes and miscommunications down the line.
5. Stay Informed
In order to be able to pay your employees correctly and fairly, you will need to make sure you are keeping on top of laws surrounding wages and hours. This is important on both state and national levels. Make sure you are educated on the necessary rules and regulations—when in doubt, seek legal advice.
Payroll Management 101
Payroll management doesn’t have to be a headache. Simply follow the above tips and tricks and in no time you’ll be managing your payroll like a pro. If you’ve enjoyed this guide, take a look at the rest of our business content.