CHEAP PAYROLL SERVICES: WHAT ARE YOUR OPTIONS?
Cheap Payroll Services Are Not Limited to Online/DIY Software
We talk to many business owners who have only a few employees and are looking for cheap payroll services. Prior to speaking with us, typically they have already looked at and ruled out the DIY/online software option since these still expose them to liabilities related to compensation laws, tax reporting, and the complex employment regulations involved with payroll administration. The risk simply isn’t worth the cost savings, and they know they’ll end up wasting their time trying to learn how to do payroll legally, file tax forms properly and use the software in the first place. Every business is unique and the various cheap payroll services and DIY or online software solutions inevitably fall short in accommodating their unique needs and intricacies.
Look For Cheap Payroll Services that Include Expert Guidance
The IRS penalizes 1 out of every 3 owners for payroll errors each year. An experienced second pair of eyes to review your payroll processing and administration during the year to catch any mistakes and advise you is one of the most important elements to look for the most cost effective way to outsource this service. We always encourage these business owners to look for this above all else. This will ultimately save you time and money by avoiding fees or mistakes. Spend time growing your business instead of worrying about if your payroll deductions are accurate and it is going out on time.
Here’s Some Common Cheap Payroll Services Options
Typically all of these are going to be more expensive than a one size fits all software online solution, but these options include the possibility for consulting and the tax guidance that small businesses need.
- A Payroll Processing Company – The pricing for this solution can be very competitive… UNTIL you discover all of the hidden additional costs once your 1st year discount expires, or you have to file tax forms (additional costs), or 1099′s for contractors etc… etc… Be careful of companies who have an extremely low price tag. Make sure you understand exactly what it includes, if you will have assistance or if it is just another online software solution, and what additional costs you can accrue.
- A Bookkeeping Service – When looking at a bookkeeping service the best questions to ask are regarding their experience with your unique kind of business. How does their fee structure look? Are their annual fees? How long does turn around take? Can they handle multi-state tax filing? How much will they assist you in employment law compliance? How often will you hear from them?
- Hiring A Payroll Processor In-House – Employers often choose to hire an in-house “bookkeeper” to do their books and process payroll. This involves hiring another employee that will cost you at least $35,000/yr and at that minimum cost you will only get a “bookkeeper”, not a tax professional, and not someone with the breadth of knowledge to handle other complex compliance issues in other areas for your HR needs.
- Professional Employer Organizations – These companies provide a competitive pricing not only for payroll and tax services, but for many other business process outsourcing related to HR that help business owners simplify their day while only dealing with one vendor for many solutions. Read more about PEOs below.
Download This Free Guide to Learn About the Benefits of Peo Payroll Administration
Why a PEO is the Best Cheap Payroll Services Option
- A PEO payroll solution offers high level of personal service for your unique business while still keeping costs down.
- You will have not one, but a whole suite of experts who are protecting you from employment, compensation and tax laws no matter which state you’re in.
- With Employers Resource as your PEO you will be assigned one client service coordinator who will ensure that your payroll is constantly accurate and up to date as well as all of your other HR needs!
- Simple payment structure. ALL services are included in your per-payroll cycle price. There are no additional fees for filing taxes, or additional forms, or consulting. It is all included.
- We can relieve other headaches for you at no additional cost – Not only will a PEO handle your payroll administration, they can also handle other HR administration duties like workers’ comp, unemployment insurance, benefits, safety and HR management, all for a price that is cheaper than hiring an employee.
- Many PEOs are licensed in multiple states and are scale ready for your business to expand (Employers Resource is licensed in all 50 states).
Learn more about the benefits of PEO payroll administration here.