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Outsourcing is one way to cut internal costs and ensure your business still functions successfully. There are many options when it comes to outsourcing. You may choose to outsource recruiting or vendor management. But if you’re new to outsourcing, there is one place you may want to start. Payroll is considered a great entry point to understand outsourced services. Here’s why and what you need to know to get started.
Properly Vet Your Payroll Service Provider
Step one is to review multiple payroll service providers to determine which one is best for your business. There is no one-size-fits-all solution for payroll services, so it’s imperative you look at them thoroughly to decide.
Through the vetting process, talk to other companies that use these services to see how they work for other organizations. You can also look at their business reviews and financials to help you make an informed decision.
Continue to Use Your Business Address for Tax Purposes
Yes, a payroll service will now take over all your financial needs in terms of paying your employees and handing their taxes and benefits. But don’t change your address to theirs for tax purposes. In order to maintain the right tax records, continue to use your business address for reporting and end of year processes.
It may be surprising at how many companies choose to make this swap, but it’s important to know you’re still paying your team, you’re just working with an outsourcing company to organize and streamline the process.
Keep a Small Business Tax Calendar
Don’t let paperwork get out of hand just because you’re working with an outsourced payroll company. You’ll still be responsible for your own financials each month, quarter, and the end of the year. It’s recommended to keep a small business tax calendar to ensure you’re on top of the requirements.
If you know the important dates for taxes, you can stay up to date on necessary financial goals. And your outsourced payroll company can help you with added value reporting, so you know things are handled correctly.
Enroll in the Electronic Federal Tax Payment System
It’s also recommended, if you’re using an outsourced payroll service, to enroll in the Electronic Federal Tax Payment System for businesses in the United States. This allows you to make quarterly payments fast and on time.
Your outsourced payroll service can also make recommendations for how to continue to handle tax payments while they’re processing your employee paychecks.
Learn more about outsourcing payroll by contacting the team at Anserteam.
About Anserteam Workforce Solutions
The ANSER to your North American workforce management needs starts with A-Team solutions. Anserteam is the alliance of North American staffing and employment resources. Since 2004, Anserteam has grown to service over 1,500 locations across the United States and Canada. Are you a best-in-class staffing firm looking to increase your client base and secure a greater market share? Find out how to become part of Anserteam.