Trying to become an expert in payroll is a painstaking process that leaves little room for business owners to improve their products or services. That’s why many rely on payroll management software, which frees up their time and affords them other key benefits, such as:
Accurate calculations Automation helps ensure that wage calculations, payroll deductions and tax payments are correct.
Compliance assistance Some providers of payroll software notify employers about changes in employment or tax regulations that might affect their business.
Access to tax forms Employers may have easy access to important tax documents – Form W-4, Form W-2, Form 1099, Form I-9 and others – through their payroll software.
Flexible payments In addition to traditional paychecks, payroll software can usually accommodate direct deposit and alternative payment methods, like pay cards.
Detailed recordkeeping Many digital payroll systems create employee profiles with various payroll records that can be aggregated and downloaded to meet regulatory requirements.
Employee self-service Through a mobile app or computer, employees may be able to edit their personal information, change deductions, submit tax withholding information, view pay statements and more.
Reduced payroll errors Payroll software that can integrate with time tracking and HR programs cuts back on repetitive data entry, thereby helping prevent errors.
Automatic alerts Many payroll systems offer workflow notification. When the software detects a data entry error, if configured, it can send an alert to users so they can correct it before payroll is processed.