On the surface, you may not think there is much that goes into choosing a payroll company
. They are all the same, right? While you may not realize the importance right now, this is a decision that will greatly affect your company's financial future.
With many options, you should be able to locate a service that is perfect for your company.
The following advice can help you make an informed, confident decision:
1. Know what you need, know what you don't need. Payroll companies offer a variety of payroll services
. It is important to pay for what you need and to avoid signing up for something that does not pertain to your business, state, industry, etc.
Tip: Many companies are in the habit of "over-serving" clients as a means of boosting their bottom line. Don't fall for this trick.
2. Make sure your service is experienced in handling the "big three." This includes: paying your payroll taxes on time; paying your employees on time; and filing your payroll tax forms by the deadline.
3. What is my monthly cost? This will vary based on the company you choose as well as the level of service you require and the number of employees you have. It is important to know exactly how much you will be paying
, month after month, so that you can budget for this expense.
With these three bits of advice, you will find it easier to locate the right payroll company for your organization.
If you are unsure of what you are doing, it is important to collect as much information as possible. You can do this by asking the following questions:
- What kind of reputation does the company have among others?
- If a mistake is made who is liable?
- How often will you receive updates and reports from the service provider?
- Will the monthly/annual fee change?
- What type of information does the company need access to?
- Do I need to pay for a dedicated account representative or am I comfortable running payroll myself online?
As you ask yourself these questions, you will soon find that the best way to get answers is by calling the company you are interested in hiring.
There are a lot of mistakes that can be made when choosing a payroll company. With this advice, you are bettering your chance of making the right decision the first time around.