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3 Reasons Why Small Businesses Should Embrace Payroll Services

Posted by Ray Gonder


Sep 14, 2015 9:00:00 AM

3_Reasons_Why_Small_Businesses_Should_Embrace_Payroll_ServicesOwners of small businesses have it tough. They have to wear many hats, often managing the majority of their departments on their own or with little help. They often struggle just to stay afloat and avoid bankruptcy.

To do so, they’re always looking for new ways to streamline their operations and keep their costs as low as possible in order to have more cash flow. Though they often have their small businesses’ best interests at heart, many owners make a fatal error: they try to handle everything in-house.

They believe that outsourcing is just another monthly expense that can be avoided—that taking on all business functions, like payroll, on their own is more cost efficient. Unfortunately, this can lead to errors, inefficiencies, wasted time, and higher risks. A time-strapped, distracted, and inexperienced business owner or employee should not be taking on such a big responsibility.

For many small businesses, payroll services are a better option to in-house processing. Outsourcing the responsibility comes with three particularly big advantages.

1. Reduced Costs

This one might be a shocker but small businesses can actually reduce their costs by using payroll services! You shouldn’t think of outsourcing as an extra expense, you should think of it as a way of cutting costs in many areas of your business.

Firstly, because experts will be handling the processing of your payroll, you’ll increase accuracy, which means you won’t accidentally overpay your workers due to inaccurate time records or calculations.

Secondly, you’ll significantly reduce your risk of non-compliance with payroll regulations, so you won’t be forced to pay hefty fines because of innocent errors being made.

Third, you will only have to pay one monthly fee to your payroll provider, which will be lower than the cost of hiring a clerk to help and paying a salary and benefits, paying for software, equipment, supplies, maintenance, repairs, and training. Your payroll provider will have everything you need to process payroll, so you don’t have to invest in any expensive technology or other necessities like you would if you handled the responsibility in house. 

2. Save Time

Owners of small businesses are often strapped for time. They often spend 12 hours or more every day working in the office, plus weekends and holidays. And many of these hours are spent on payroll processing every pay period. It can be incredibly time consuming to track hours of work, research tax legislation and payroll regulations, make the appropriate calculations and double check your work, and fill out all of the required paperwork. This is time spent away from your core business, your friends, and your family.

Payroll services will allow you to have more time in your day for the things that matter. You won’t be as overworked and you won’t be so distracted. You’ll be able to focus on your core business or spend more time outside of the office. Sounds nice, doesn’t it?

3. Gain Access to Payroll Expertise

When you invest in outsourced payroll services, you get to gain access to much-needed expertise. Your payroll needs won’t be handled by just anyone—they’ll be taken care of by experienced and skilled professionals who understand the ins and outs of payroll processing and administration. You won’t have to worry about making costly errors that damage your reputation and upset your employees; you won’t have to remember to keep up to date with remittance deadlines; and you won’t have to worry about being non-compliant with any of the hundreds of payroll and tax regulations you’re expected to know, understand, and adhere to.

Your team of experts will be by your side, handling the paperwork, compliance issues, and calculations. And they will be there to provide guidance, recommendations, and advice whenever you need it.

Investing in payroll services is worth it for small businesses. As a small business owner, you’ll save time and money and gain access to payroll and tax expertise.

What Are You Leaving to Chance by Handling Payroll on Your Own

Topics: Payroll Services, Small businesses

Safety Awareness Training Tips for American Employers

Posted by Stacey Jones


Jun 26, 2014 10:29:00 AM

468208971New regulations under the Occupational Health and Safety Act require American and Canadian employers to complete training for their Canadian employees AND contractors working in Ontario by the July 1st 2014 deadline. The Ministry of Labour’s “basic occupational health and safety awareness training” comes after concerns over the safety of vulnerable workers on job sites. Read on if you’re a U.S. employer paying Canadians in Ontario.

The term “vulnerable workers” is attached to young people between the ages of 14 and 24 as well as older workers who have been on the job for less than six months as well as new immigrants unaware of regulations surrounding health & safety. It’s estimated that these workers are four times more likely to get injured within their first month of working than all other worker groups.

It is worth noting that the training program for workers is a different curriculum than for supervisory positions. Training can be done online through the Ministry of Labour (MOL) and takes 45-60 minutes for both workers and supervisors. Not completing training for your Canadian employees working in Ontario and independent contractors in Ontario will see U.S. employers in violation of the Occupational Health and Safety Act.

The health and safety of a workforce is of utmost importance for any employer but for American parent companies expanding into the Canadian market, this is especially pertinent as the Ministry of Labour often takes a special interest in U.S. companies as they often misstep in applying Canadian employment law. U.S. companies expanding business operations into Canada need to understand that not properly training a Canadian worker can lead to not only hefty fines and a loss of reputation, but endanger the welfare of the people handling business for them north of the border.

Here are some steps U.S. Employers paying Canadians should take to complete the necessary training before July 1, 2014 to comply with Ontario’s new safety awareness training requirements. Checklist courtesy of The Payroll Edge:

  • Make a list of workers (not just “employees”)
  • Make a list of supervisors
  • Determine whether each worker and supervisor already received equivalent worker or supervisor safety awareness training (likely not)
  • Plan how training will be done (e-learning or face-to-face sessions)
  • Print paper copies of MOL materials for face-to-face sessions (if training provided face-to-face)
  • For face-to-face sessions, gather other suggested materials, such as employer safety policies and procedures
  • If they choose the online training? Include both the worker and supervisor link
  • Plan when training will be done: regular work day or on employee’s own time?
  • Schedule training
  • Set deadline for completing
  • Develop tracking / reminder system
  • Gather certificates for each worker and supervisor
  • Decide who will keep training records and where

Sound complicated?

The Payroll Edge offers U.S. and foreign employers seamless workforce expansion into the Canadian market by being your Employer of Record (EOR) service –similar to a Professional Employer Organization (PEO) in the United States.

Serious consideration to outsourcing should be made by U.S. companies expanding business operations into Canada who lack the expertise in employment law and taxation compliance.  The Payroll Edge is much more than a payroll processor. Along with our Employer of Record services, we provide superior expertise in the Employment Standards Act in all Canadian provinces, guaranteed compliance on hiring independent contractors in Canada, and can offer best practices when a foreign entity is looking to expand into the great white north. To learn more about our service, please contact us. 

Topics: Payroll Processing, Payroll Services

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