When it comes to running a new business, most entrepreneurs learn as they go. There's a certain pride in the do-it-yourself approach. But when that business grows sufficiently to require additional personnel, the entrepreneur becomes an employer, and issuing payroll becomes a necessity.
Processing a payroll is a detail-oriented task that contains numerous potential pitfalls. Calculating wages and dealing with different taxes, deductions, and other allocations can be a daunting prospect. The chances for error are high, and mistakes can be costly--ranging from lost time to penalties from enforcement agencies.
The upside of a consistently accurate payroll is rewarding. It helps employees feel confident in their employer. Business owners who deliver accurate payrolls avoid the complications that come with correcting errors or correcting compliance problems. This provides more time for management to pursue what they like and do best...the revenue-generating activities of their enterprise.