Avoid Costly Payroll Mistakes with These Tips

shutterstock_311043284Many businesses set themselves up to fail – and they don’t even know it. Financial errors and payroll mistakes can cost a business more than just a penalty fee; companies have been shut down for failing to properly address federal and state laws regarding payroll. The IRS does not mess around when it comes to payroll taxes – and neither should you. Get your books in order with the following payroll tips to build a successful company on a solid financial platform: Continue reading

5 Hiring & Employment Mistakes Small Businesses Make

Small business owners know a unique set of challenges await them in the financial world. Special rules and regulations are in place for businesses with less than a certain number of employees, and different tax brackets further classify companies into categories, each with their own rules and stipulations. It is a lonely world with stiff penalties for breaking the rules. Avoid fines by reviewing these mistakes small businesses frequently make. Continue reading

So You Made a Payroll Error

Payroll errors, while not common, can happen to even the best H.R. departments. Payroll is an extremely sensitive topic for many employees (especially those working on an hourly basis), so it is important to handle these errors with respect for all involved and not only admit the error, but correct it as soon as possible to avoid further embarrassment or distrust. This is a scenario that calls for the employer to be humble, admit that mistakes happen, and to make amends per state law. Continue reading

7 Costly Payroll Mistakes Businesses Make

Too many honest small businesses are penalized for infractions they never knew they committed to begin with. Tax codes are full of asterisks, small print and details most people are simply not trained to navigate alongside the usual responsibilities of managing a business. A CEO’s first priority (next to running a company smoothly) is the customer. Customer relationships are time-consuming and demand a great deal of attention from a successful management team. With so much happening behind the scenes, it’s no wonder these costly payroll mistakes slip by unnoticed. Continue reading

Top Business Tax Filing Blunders and Penalties

The costly mistake of filing your taxes incorrectly with the IRS is one no business owner wants to make. From penalties and interest to the cost of tax audit, the consequences of a notice, rejection or tax audit can be detrimental to the business. If you are in a bind with the IRS, you may have made a common yet costly mistake. Here are some common tax form blunders: Continue reading

Dirty Tips: Which Small Business Tax Law Do These Break?

Tips are very common in the restaurant and bar industry, but they are common in other industries as well. When was the last time you tipped someone outside of the food service business? Was it a hotel staff member, your VIP valet service, your masseuse or manicurist? It could have also been a moving company employee or your local tire repair shop technician.

As a payroll specialist for small business owners, we want to warn you that you should be aware that you are held to a more strict law regarding tips because the IRS requires the total amount of tips equaling more than eight-percent of all gross income for each employee must be reported during income tax season. Form 8027 helps the IRS to see the correlation of reported tips and gross income receipts.

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Confused About Payroll for Unpaid Interns?

In a previous blog post, we spoke about whether or not employing student interns could be right for your business. The same can be said for all internships where businesses provide the opportunity for individuals to learn about a particular industry. Internships provide aspiring people that want to know more about a job the chance to learn first-hand about what it takes to become successful.

With many businesses taking in interns, the question of having to pay for an intern’s service begins to come into play. Businesses must follow the U.S. Department of Labor’s criteria to determine whether or not an individual qualifies for unpaid internship status.

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