Category: Accounting

Tips On How To Choose A Payroll Services Company

When researching payroll services in Nashville, Tennessee, it can be hard to know what to look for. Sometimes, it might appear that all payroll services are offering the same thing, but there are a few considerations companies should keep in mind when choosing a payroll provider.

Few Considerations for Choosing a Payroll Provider

1. Get a Company that Includes Payroll Taxes

Paying employees is only a small part of what companies need to do when processing payroll. Calculating and filing payroll taxes is one of the most complicated and important HR tasks for any business. Not only are payroll taxes time-consuming, but mistakes can result in hefty fines from the IRS. It makes common sense to outsource payroll taxes when also outsourcing payroll processing. Companies in Nashville should look for an all-inclusive payroll provider with a trusted reputation for filing payroll taxes correctly and on time.

2. Choose a Tech-Savvy Company

Some payroll services operate with antiquated or outdated software and user-friendly web tools. Whichever payroll outsourcing company you choose, make sure it uses up-to-date software that can be easily integrated with your company’s HR systems. Payroll services with better technology also tend to be more aware of the security threats to the sensitive data stored in payroll software. Find a company that takes their technology and security seriously.

3. Find a Service with Time-Saving Tools

A lot of information goes into payroll processing and taxes, but some software programs have made it easier to collect, track, and access that information. Finding a payroll provider that has timekeeping tools, online enrollment tools, and employee self-serve will save your company time and money.

4. Prioritize Customer Service

Good payroll software is extremely important. But, sometimes, you will need or want to talk to an actual person. Be sure that your payroll service provider has a customer support team that’s available to coach you through both your initial transition and answer questions for years to come.

5. Pick a Company that Can Grow with Your Business

The main benefit of outsourcing payroll is freeing up time to grow your business. When that growth does happen, you need a payroll service that can scale up to accommodate additional employees and services. Make sure to find a payroll service with a clear pricing structure. This will help avoid any potential surprises as your service increases.

6. Find a Local Payroll Outsourcing Provider

If you’re a Tennessee-based business, you should find a payroll service that is based in Tennessee. Not only does this allow for in-person collaboration, but local providers are more aware of laws that will directly affect your business. Payroll laws are constantly changing, and local providers are the most aware of changes in the areas in which they are based.

Timing Of A Payroll Conversion

Deciding when to implement a new payroll solution is important. If you are considering a mid-year conversion, Quarter 2 is a good time to start the process. Another option is to convert at the end of the year. The ideal time to begin a year-end conversion is October so it doesn’t conflict with any year-end processing you need to handle.

No matter which time of year you choose, a streamlined implementation process will ensure a smooth transition. Part of this process is working with an experienced and knowledgeable sales consultant who understands your needs and requirements to recommend the best solution. Given the complexity of workforce solutions and the multitude of capabilities that will impact your company, a good payroll provider should have a sales team that is involved every step of the way.

What Type of Backup Plan Do They Have?

What happens if the company has an accident in the office and your records are destroyed? What if the person who handles your payroll is ill? You need to know the company has a backup plan or several should anything go wrong. It’s not just important to know your business is in safe hands but feel relaxed at leaving them in charge of your business as well. Far too many people don’t consider this when choosing a new payroll service and lose out. When you’re choosing a new service you have to ensure there are backup plans just in case.

Do They Offer Customer Service or Support?

No customer support? If a company doesn’t have any support on offer, then it’s something to be very careful of. Having no customer support can be bad simply because, if something goes wrong and you need to contact someone, there isn’t anyone to talk to. That is why when choosing a new payroll company, you have to ensure there is some level of customer service or support on offer. To find out more, check out www.payrollserviceaustralia.com.au.

Bonded and Insured Companies Are a Must

You need to know that, if something goes wrong, the company you choose will take full responsibility for it. There could be any number of problems with payroll and a good payroll service should be bonded and insured so that if something does go wrong they can reimburse you for the money lost. It’s not always something you think about when searching for new payroll services and yet it’s really quite important. You cannot afford to hire someone that isn’t bonded with the state or insured.

Good References Are a Must!

While it’s not always easy to get a referral, you shouldn’t look past a recommendation or reference. Companies that have a good track record won’t scowl too much when you ask them for a reference or two, they should jump at the chance to show how trustworthy they are. You should always look at their references or even read some reviews online and see if you like what you’re reading.

Setting up an automated payroll system

A company that has never jumped into the deep end of automation will be surprised at how easy it is to get started.

With RPA programs, much of the work is already done. Most of the software is capable of running alongside the company’s pre-existing system, which means that implementation is relatively simple, especially in contrast to a complete system overhaul.

Here are five steps to a successful implementation:

1. Digitize all payroll

At a time when people fear that nearly all of the modern workforce is going to be taken over by computers, it’s stunning to note how many companies are still using pen and paper to calculate their monthly payroll expenditures.

There is no reason to avoid using automated software for payroll management, with many companies like Papaya Global and Gusto offering solutions that can bring your payroll service into the current century in one shot.

It’s a vital step in the automation process because the bots that will do the job need digital records to work with. You can’t automate if you are committed to a pen-and-paper solution.

2. Bring all payroll together

Whether your company is a startup with fewer than a dozen employees or an established business with workers in different countries, aggregating all of the information into one place on a single platform is not only good for automation, it’s also a great way to start collecting business intelligence data from your payroll and planning for the future.

Since payroll will always be the biggest expense item in virtually any company, finding ways to be more efficient will be increasingly essential to growth and competition. Missing out on the biggest source of useful data would be a tragic missed opportunity.

3. Choose an automation system

With relatively low-cost RPA solutions, such as IUPath or BluePrism, it’s hard to go wrong with an automation solution. However, it is worthwhile to look at certain factors to make sure that they align with your automation goals. If you are trying to grow your workforce quickly in the coming period, make sure it can scale as necessary.

If you plan to use payroll automation as a test model to see if automation can work in other departments, such as finance or human resources, make sure the software company can handle those areas as well. Automation is moving quickly. You want to make sure you can use your experience with payroll to your full advantage.

4. Prepare your workforce

Many workers continue to see automation as a threat that is not only going to push them out of their jobs, but also permanently take them out of the workforce with no way to earn a livelihood. Good managers prepare the workers for automation by presenting the benefits for everyone involved. When it comes to automating payroll, workers should recognize that the time they save will go toward more fulfilling and creative tasks that robots can never do.

The future of work is both more digital and more human. Workers fear the digital half of the equation—so it is essential that they are fully aware of the human side as well. Instead of feeling threatened by losing their jobs, they can feel empowered and inspired to be doing things of greater value that could result in higher pay.

5. Stay alert to external changes

While simple payroll compliance is one of the biggest benefits of digitizing and automating payroll, there is still a need for human involvement in the process, especially when it comes to tracking changes in legal matters.

Compliance is an ongoing process, not a one-time fix, and failing to stay up-to-date on changes in the law could end up costing money in fines.

In short, even the best automated system requires human involvement at various levels. The bots may be able to deliver high-quality service in speeds five to 15 times faster than a human, but the system needs oversight. It would be a mistake to program it and forget it, especially when the stakes are so high with payroll.

Your business needs

Before you can compare software options, you need to have a clear idea of what your business needs from a payroll service. Here are a few questions to ask yourself:

• What size is your business? How many workers do you have?
• What kind of workers do you have, contractors or employees?
• Do those employees have benefits?
• Who will manage payroll and how much time do they have to devote to it?
• Does your payroll manager always work from the same place?
• How comfortable is your payroll manager with regulatory and legal issues when it comes to payroll?
• How much budget do you have to allocate toward payroll processing?
• What is your biggest pain point in your current payroll process?

Use your answers to these questions to guide you through the rest of the criteria you need to evaluate before you choose payroll software for your small business.

Get help with tax

Get help from HMRC

For simple queries, you can contact HM Revenue and Customs (HMRC). You should also contact them in the first instance if you:

can’t pay your tax bill on time

disagree with a tax decision

have additional needs, for example a disability or you don’t speak English

If you’re on a low income

If HMRC can’t help and you’re on a low income (up to about £380 a week), you may be able to get free professional advice. This includes help with filling in forms and what to do if you owe money to HMRC.

Get help from family or friends

You can give permission to a friend or family member (a ‘trusted helper’) to deal with HMRC on your behalf for things like viewing your Income Tax estimate, talking to HMRC or helping you to fill in forms

Hiring a professional

An accountant or tax adviser may be able to help you with your tax. You’ll need to authorise an accountant or tax adviser to deal with HMRC for you.

Tax Return Due Diligence: Basic Considerations

Due diligence, in the context of tax return preparation, is the diligence or care that a reasonable preparer would use under the same circumstances. It is an objective standard.

Under the general due diligence standards set out in the regulations, the preparer can on most occasions rely in good faith and without verification on information provided by the client or third parties and contained in previously filed returns. However, in some situations the preparer will be required to make further inquiries to verify the accuracy and completeness of the information provided to meet the due diligence requirements.

The Code and regulations provide for enhanced due diligence requirements with respect to claims for the earned income tax credit. Preparers are required to exercise due diligence in determining whether a client has met the requirements for reporting foreign bank and other financial accounts.

a critical plot point is the question of a hospital’s due diligence and negligence. A patient at the hospital was in a vegetative state, and the family was suing the hospital over whether its behavior and the circumstances surrounding the administration of anesthesia were appropriate. There is further controversy over the documentation as to whether the admitting nurse “did the right thing” in checking into whether the patient had eaten anything outside the appropriate time frame for safely administering anesthesia. Did the hospital do the right thing? What would a normal and prudent medical staff do under the circumstances? What was the role of documentation in the determination of the hospital’s liability?

While the situation may not have the same drama as The Verdict, a tax professional may be asked the same types of questions if something goes awry and there is a mistake on a return or an understatement of tax. With the perspective of hindsight, did the tax return preparer do the right thing? What exactly is the right thing to do in determining a tax return position? Did the preparer apply the law appropriately to the facts? Did he or she have all the relevant facts? What effort is required of a reasonable and prudent preparer to obtain the pertinent facts? What should the preparer document in the client’s file?

Tax Preparation Guide – What to Bring When You Do Your Taxes

The number one question that most taxpayers ask when getting their taxes prepared by a credentialed tax preparer is, “What do we need to bring?” When choosing to have someone else prepare your taxes for you, it can be beneficial to prepare the documents you will need in advance in order to help your preparer get you the best return possible.

Proof of Identity

The IRS requires each tax preparer to physically see a taxpayer’s social security card and another form of ID before we can file your taxes for you. The other form of ID can be a driver’s license, passport, or any other form of ID that contains your picture. Having these forms of ID is how we make sure the return is correct for the right person.The IRS requires each tax preparer to physically see a taxpayer’s social security card and another form of ID before we can file your taxes for you. The other form of ID can be a driver’s license, passport, or any other form of ID that contains your picture. Having these forms of ID is how we make sure the return is correct for the right person.

The person bringing these documents in needs to be listed as one of the taxpayers on the tax return. We will match the social security card and driver’s license to the taxpayer providing the documents in order to confirm their identity for security purposes. Along with your own proofs of identity, you will need to bring your spouse’s and children’s social security cards as well. This allows us to check that the information you provided is correct.

Nine times out of ten you are going to give us the right spelling of your kids’ names, your name, the exact social security number, and all the correct information we need. It’s that one out of ten moment where you get overwhelmed by your taxes and end up writing down a nickname for your child that doesn’t match their legal name. Then your return gets rejected because the IRS immediately does a legal name and social security match for everyone on your tax return.

Bringing these documents are not only required for us to do your taxes, but it will save time and money in the long run. Bring these documents in with you and we will make sure they match all the information you provided us with so we can prevent any problems later. Anywhere you go, they will and should ask you for this information. We are all going through the same information in order to make sure everything is accurate up front.

The Accountant’s Guide to All Things Tax Prep

Let’s get right to it. One of the keys of successful tax preparation has nothing to do with filling out forms or itemizing deductions. You also have to be able to work efficiently under pressure while weathering the yearly force of nature we call Tax Season. That’s no simple task.

Preparing for Tax Season

Orchestrating a successful tax season begins long before the IRS starts accepting returns at the end of January. There are dozens of tasks that need doing in order to prepare for tax season, from stocking the materials closet to hiring any extra help you might need. Here are a few less obvious things you might add to your pre-tax season preparation list.

Audit Your Process

Chances are you’ve probably prepared enough tax returns that you have the the process down to a science. You know what you need to do to get the job done, but that doesn’t mean everyone on your team does. It also doesn’t mean that your working pace isn’t getting slowed down by tedious tasks such as delegating work, holding meetings, and checking the statuses of different projects.

Offer Tax Planning Early

Your clients will really benefit from having a planning session about lowering their taxable income by implementing year-end strategies. For example, some business owners don’t know that they can choose to delay billing for certain work or services done late in the year. That way, they receive the payment in the following year, thus lowering their tax liability for that current year. Without your help, your clients are likely unaware of these and many other actions they can take toward the end of the year.

Tax planning is a year-round activity where you can work with your clients to make plans and get organized. By getting helping your clients plan early, you’ll give them the tools they need to be far more prepared when tax season rolls around.

Things You Can Do Now to Get Ready for Tax Season

Every year you promise yourself that this will be the year you file your taxes early. And every year you’re rushing to file your return by midnight on April 15th.

While it doesn’t matter to the IRS whether you file on February 1st or April 15th, there are some distinct advantages to getting your taxes done early. For starters, if you’re owed a refund, the sooner you file, the sooner you’ll get your refund money in your bank account. Plus, filing early may help lessen the risk of tax identity theft: the sooner you file, the less time is available for a thief to file a fraudulent return using your personal details.

Get last year’s tax return

Don’t start your tax planning from scratch. There’s a lot of information which carries over from year to year. You can save yourself some time and shortcut the prep process by first digging out last year’s return.

Do a paycheck checkup

Does your employer withhold taxes from your paycheck each month? It’s important to make sure that your employer is withholding enough taxes. This way you’re not stuck with a big tax bill and penalties when tax time rolls around.

Make a list of all sources of income

You may have multiple sources of income and they’ll all need to be included on your return when you file. While you won’t have totals or official forms yet, it’s a good idea to make a list of your sources of income so that when tax time rolls around, you have all the documents you need to collect.