You don’t need to become an HR expert just to set up an effective payroll system for your business.
In fact, trying to do this process manually can make matters even more financially complicated. The IRS reports that 40% of small businesses receive fines due to incorrect tax filing.
So how can you avoid a headache like that?
For many small and mid-sized business owners, getting payroll software is a great solution to this widespread problem.
1. Features to Consider for Payroll Software
It can be difficult to choose the right payroll software since there are so many out there. Some platforms simply have resourceful features, while others have great pricing. Ideally, you want a combination of good features and a reasonable price.
So here are some features to look for in payroll software.
- Free Trial
- Tax compliance services
- Scaleable price and plans
- HR payroll software
- COVID-19 resources
- Mobile options
- Customer service
Most cloud service softwares have at least a few of these features. As a rule of thumb, you should look for software that offers free trials so you can test the platform and see if it suits your business needs.
2. Software for Small Businesses
Workful is a software intentionally designed for small businesses with hourly employees. It tracks hours and produces timesheets while providing both payroll and HR services.
This means that you can run tasks like payroll, tax reporting, employee onboarding, or time off management all through one platform. If you’re a small business, expense reporting is another important part of management which you can do through Workful.
You can receive all these features for $25 per month plus $5 monthly per employee.
Square Payroll is another software made just for small business owners. Unlike Workful, Square Payroll allows you to manage payment for employees, contractors, or both at the same time.
If you only work with contractors, then the software is only a $5 per worker fee with no other monthly subscription fee! However, if you have employees, you’ll pay the $5 monthly fee plus the $29 monthly subscription.
Both Square Payroll plans offer customer support (U.S. only), 1099-MISC forms, and compensation via multiple platforms. The platform is rather flexible and enables payment by check, direct deposit, or the Cash App.
3. The Most Affordable Software
Wave has one of the lowest starting prices of $20 a month on top of the $6 per employee rate. Along with this service, Wave also includes free accounting software.
If you want to create a pay stub, you can do this while easily implementing W-2 forms for employees. However, Waves’ automatic tax filing feature can only be used with 14 states.
4. The Most User-Friendly Software
If you don’t want to bother with setting up software at all, you can use OnPay, and hire the software experts to simply do it for you. This setup is also free with the service, and the service itself is a low $36 per month.
Although OnPay only has one standard plan available, it has a variety of features with this standard plan.
For employers, OnPay offers accurate tax filing options, accounting features, and pay stub creation. For employees, OnPay includes a portal for them to access pay stubs and tax documents, even if they’re previous employees.
Gusto is another favorite payroll software for users due to its easy navigation and intuitive features. One of the features is medical, dental, and vision insurance management.
You can integrate insurance benefits you currently include, or you can use Gusto to help you find benefits for your employees.
Payroll Software Streamlines Business
Finding the right payroll software means that you can finally stop spending time on administrative tasks and actually focus on your business instead.
If you want to get ahead with your business, we’ve got you covered. Check out some more of our business tips for 2020.