4 Ways Your Payroll Program Could Be Working Against You

Canadian payroll calculator

If you are a business owner and you manage your own employee payroll program, there are a few mistakes you could be making without even realizing it. Sometimes all it takes is a second look at your payroll program to make sure that it’s running efficiently, but sometimes it means that you need to start seriously thinking about outsourcing your payroll program to a professional payroll service provider. Take a look at these four points and decide for yourself which course of action you need to take:

1. Each employee is unique. You may already use a calculator for your employee payroll program– which is a great start– but even this may be costing your business money. If your business employs people with a variety of different job titles, salaries, and work hours, then it can be difficult to know if your payroll program is correctly analyzing the payroll of each employee.

2. Canadian tax laws change constantly. There are currently 190 legislative requirements governing Canadian payroll processing and Canadian tax laws have been known to change often and unexpectedly. Unless you have the time to comb through the entire Canadian payroll processing legislation at least once a year, chances are good that you have already missed some changes that could end up costing your business a lot of money. Being aware of these changes and understanding them is practically a full-time job in itself.

3. US businesses with Canadian employees can have even more trouble with their payroll program. US businesses with Canadian employees have twice as many payroll processing laws and regulations to know and understand. This seems like an obvious point that any US business would have considered before employing Canadians, but the differences with payroll and HR management in the US and in Canada may not have seemed so drastic at first. The truth is, payroll program regulations are very different in both countries and it can be nearly impossible to stay up-to-date on all of them, regardless of how small your business is. Many US companies that could benefit from expanding into Canada simply decide to stay domestic due to so many payroll program differences.

4. Experience is key. Unless you have a lot of experience dealing with finances and payroll processing, even the most basic tasks can seem confusing. This doesn’t mean that you’re incapable of running a business– it simply means that you don’t have the time to devote to running an efficient payroll program. Many businesses end up outsourcing their payroll program because it allows them to focus on their core business rather than get caught up in loads of paperwork and calculations. Outsourcing your payroll program to a professional payroll provider will ensure that someone with experience in finances and legislative regulations is handling all of your business’ payroll processing. Continue reading here: www.thepayrolledge.com

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