Payroll management at a small business is not easy, and many small business owners make the mistake of underestimating how complicated the process can become. If you are to run your small business successfully for the long-run, make sure you take payroll matters seriously.
Payroll management and processing can provoke headaches for new small-business owners. Setting up a business’s payroll, right from computing employee taxes to creating a routine pay period, can haunt anyone involved in it. Although, it doesn’t have to leave you frustrated and exhausted.
Here are guidelines and tips that can help you make right decisions when setting-up or managing your business payroll system.
1. Allocate Dedicated Resources To Handle Payroll
Payroll management requires a lot of concentration, as a mere mistake might cost the business a heavy penalty. Thus, it is essential that businesses designate a person or a team to handle payroll dedicatedly. Each person should have pre-defined responsibilities so that things keep running in an orderly fashion. This is how to handle payroll processing for small business, just like other big fishes do.
Also Read: Best Payroll Software for Small Business in Nigeria.
2. Adopt Technology. Use Payroll Software
If small businesses aspire to make their payroll function more efficient and economical, then they should consider using a web-based payroll software solution. Having an automated system to run your payrolls can ease sown your efforts and help you focus on other strategic areas. Moreover, having payroll processing, attendance management and benefits administration under a single roof can help owners streamline business processes effectively and comply with the tax and other rules as well.
3. Get good support for your payroll software
If you use a software or online package, and a technical glitch is preventing staff from being paid, you’ll want help at hand to save stress and embarrassment. Always check that your payroll software provider has an online customer support that enables you to easily get help on your payroll management when needed.
4. Always keep up with payroll legislation
Changes in regulation may affect how you need to run your payroll, so it pays to keep abreast of major new laws. Benefits and tax change frequently and while you don’t necessarily need to know all the details, it’s worth staying informed and getting advice when you’re not sure. Click here to learn more about Nigeria Labour Law.
Also Read: 5 super effective ways to keep your team happy and motivated.
5. Outsource your Payroll (if all else fails)
If managing payroll yourself is proving a real headache, consider outsourcing your payroll management task to a payroll company. Even though they could cost more compared to doing your payroll yourself, they’re experts at what they do and can save you the hassle of managing everything yourself and staying on top of regulations and paperwork.
Conclusion
Payroll requires absolute precision each time. Delayed or inaccurate payroll might upset your employees and can put you in trouble because of non-compliance with the law. Small businesses often struggle with their payroll processing; all they need is management and an effective payroll processing solution. This way, small businesses will have a peace of mind when it comes to payroll management.