Wiggle Room in Your Payroll

payroll wiggle room - Complete Controller

Payroll is a term that indicates the number of employees in a company to be paid monthly. The company needs money to pay salaries to its employees. Small business owners should strategically manage the funding and keep wiggle room in the company’s payroll.

Ways to Find Wiggle Room in your Payroll

Payroll problems are a common issue in small businesses. If not carefully planned, the credibility of a business becomes uncertain due to payroll funding problems. Small business owners should strategically manage payroll funding by avoiding common mistakes. If you continually face a payroll shortfall, you should review your payroll schedule. ADP. Payroll – HR – Benefits

  • Be on time with your payroll processing

    • Late and incorrect processing

Payroll should be done correctly and punctually to evade discontent among employees. One of the most common mistakes with payroll is improper processing, resulting in the employee’s salary being greater or lesser than what it should be. These errors generate interruptions since they will need a redraft, which is time-consuming. This causes delays, and it is crucial to be on time for payroll processing.

    • Inexperienced Staff

If you have an internal payroll department, you must give precise training so that your team can understand the intricacies of payroll processing. It is in your best interest to train your team so that any possible mistakes and chances of delay are reduced. Download A Free Financial Toolkit

    • Utilize the Services of a Payroll Company

If you continually face payroll issues and don’t have a payroll department, you may need to take your payroll outside of the company to solve these issues. A payroll company can free you from a lot of managerial loads and ensure accuracy and payroll deadlines. You will have to weigh the payroll issues against the cost of hiring a company to handle them before deciding to employ one.

  • Direct deposit vs. physical checks

The main motive for small businesses that pay their employees through direct deposit is to streamline the payment process for both employees and business owners. Direct deposit may be more complicated for some companies, and they may still opt to issue physical checks to your staff on payday.

Paper checks also buy time in some cases. You can give checks at the end of the day, and banks are usually closing at that time. Your employee cannot cash the check on the same day. This strategy can create a little wiggle room in your payroll, as money will be withdrawn from your account on the following day. Some employees will not deposit checks for many days. But if your employees deposit the checks through ATMs or smartphone banking, then this trick will not help create wiggle room. Many banks provide the facility for ATM check deposits. Complete Controller. America’s Bookkeeping Experts

  • Delay other expenses

The payroll should be on time. Delays in paying salaries to your employees will create issues for you and your employees – not only temporary issues, but it will also cause long-term effects with employees’ dissatisfaction in your business. It can damage a good relationship between you and your employees.

So, it is better to delay other expenses in your business, which can be dealt with later, than delay payroll. For this, plan out in advance to check which payments can be made later. If you have made purchases and have days to pay for them, you can delay this payment. This will create a little wiggle room on your payroll.

Conclusion

Small business owners can have a contract with payroll companies to ease their administrative work in payroll. They can also give a physical check to their employees. Certain expenses can also be delayed, making a wiggle room in payroll.  While good bookkeeping will prevent you from having to even think about this, there are always options if you are willing to get a little creative.

Cubicle to Cloud virtual business About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud platform where their QuickBooks™️ file, critical financial documents, and back-office tools are hosted in an efficient SSO environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity. LastPass – Family or Org Password Vault