The American Payroll Association, the society of Payroll Professionals, established National Payroll Week in 1996 to celebrate the economic, cultural and social achievements of workers and the significance of “an honest day’s work for an honest day’s pay.” The observance coincides with Labor Day each September.
According to the Association, 71.8% of the annual U.S. Treasury revenue is collected through payroll withholding.
If you have an established business, how do you handle payroll? If you’re a start-up ready to hire employees, how do you plan to handle it?
There are two choices: Manage the payroll yourself or outsource it.
Payroll taxes are complex. (Just look at this Employer’s Tax Guide issued by the IRS). But, there’s a wealth of do-it-yourself software available today to guide you through the process, and a multitude of business owners who are taking advantage. So, if you’re not intimidated by the terms in this Tax Management Glossary compiled by Intuit®, check out their payroll system and the scores of others you’ll find promoted online.
Hire a payroll services provider
If the whole payroll process seems overwhelming, you’ll save time, stress and the possibilities of penalties by engaging the services of a reputable payroll service. Ask other business owners who they use, heed the SBA’s advice for setting up payroll system, or check this list of providers from the IRS website.
Seasoned business owners — share your experience with start-ups! Tell us how your business manages payroll!