Payroll and Human Resources Compliance Needs

09 Dec Payroll and Human Resources Compliance Needs

The Federal government and NY State continue to pass laws that add layers of compliance relative to their Human Resources functions and payroll processing rules. Therefore, Fuller Lowenberg highly recommends that clients look into a payroll service that will stay on top of keeping their businesses compliant and by making sure that they have a relationship with an HR consultant and/or labor law attorney.

Payroll tax changes are common and often tax rates, laws, and report deadlines are adjusted year-to-year. It is difficult to stay on top of these various changes to ensure no penalties or fines are charged for late or incorrect payments. Laws and regulations enforced by the Federal Government for non-compliance can result in costly penalties and confusion for companies. Payroll mistakes are also frustrating and an inconvenience for employees. Business owners are often too busy running their companies to stay on top of these changes.

Professional payroll service providers must stay current with the rules, regulations and changes in tax rates. A good payroll services provider is far less likely to make a serious error than your in-house staff.  Many outsourced payroll providers calculate payroll taxes, manage filings and payments and will assume the cost of penalties due to incorrect calculations or late payments so long as you timely provide the necessary information and funds availability.  Keeping abreast of federal, state and local changes can be a real challenge. A reputable outsourced payroll provider has a staff dedicated to keeping up-to-date on all of the changes that could affect your payroll, ensuring that you stay in compliance.

A comprehensive payroll service makes everyone’s lives easier; set-up and processing of employees’ paychecks ahead of time and simplifying the process through automation. A professional services processor calculates your taxes and deductions, guarantees timely payment amounts, and clears out administrative bottlenecks.

Remember: human error is more common than you might think. Even if you have “a system” or a head for math, the truth is we all slip-up. Accounting for overtime, benefits, and tax withholdings is complicated, and anybody could slip-up on it. The biggest downside to this is that fixing mistakes is often time-consuming and (even more often) stressful. Payroll services help to prevent these errors ahead of time.

One final thought:  the best time to change to a payroll services company is January 1^st and it may take a few weeks to set-up, so, we highly suggest that you consider working on the transition now.  Feel free to reach out to your Fuller Lowenberg partner should you have any questions or need a referral to one of the many payroll service providers that we work with.