Without a doubt, one of the most difficult—and complicated—portions of business ownership is payroll. But, unless you hire a payroll service, it’s just something you have to do. As one of the leading experts in payroll in the Washington DC metropolitan area, we’ve learned to navigate these complexities with expert skill. Here are some of the most challenging aspects of payroll we’ve learned to overcome.
Payroll is complicated. Why not leave it to us?
Overtime
Many small business owners who do their own payroll find overtime to be one of the most difficult aspects of the job. If your hourly workers work beyond 40 hours per week, the Department of Labor requires that you compensate them accordingly. In recent years, certain categories of workers formerly exempt from overtime pay became entitled to it. Hiring a payroll service can help you navigate the complexities of overtime pay.
Tax Withholdings
Everyone knows taxes are complicated. The amount of people who can do their taxes on their own is very few indeed. Now imagine having to navigate taxes for every single one of your employees.
Bowman & Company is a CPA, meaning we’re adept at navigating all things having to do with taxes. We can represent your business before the IRS in the event of a tax audit. When it comes to payroll, we know how to withhold the correct amounts of state and federal taxes free of errors.
Employee Classifications
When handling payroll, you have to classify your employees properly. This isn’t by nature too difficult of a task, but it can become easier to make a classification mistake the more employees you’re dealing with.
Here are the three main categories of employees you should be aware of:
- Hourly workers
- Salaried employees
- Independent contractors
Making a mistake when classifying these employees can be costly. You may even end up having to pay taxes back to the IRA.
We Can Help
Payroll may be a difficult task. But the experienced professionals at Bowman & Company are up to the challenge. As a small business owner, handling payroll shouldn’t eat up so much of your time. As your business grows, consider hiring a payroll service. Then you can sit back and let us do the work.
Contact Bowman & Company CPA Today
Bowman & Company CPA, PC provides all of our individual and small business customers with experienced, accurate, and affordable financial services. Our financial services aim at decreasing your taxes and increasing your net worth through responsible, timely, and accurate recordkeeping. We offer our services to clients throughout the Washington, D.C. metropolitan area including Maryland and Baltimore County, Columbia, and Howard County. For more information on our offerings, contact us online or call us at (410) 381-8121. You can also find us on Twitter, Linkedin, Facebook, and Youtube.