4 Ways to Avoid Small Business Payroll MistakesRebecca Bendikov
Here are some tips to help you avoid some of the usual mistakes when it comes to paying employees.
Make sure that your employee details are up to date and accurate.
This includes tax file number, name and address, start or termination date of the employee, date of birth, and pay details such as gross wages, allowances, hourly rate and employment period.
Put your payroll deadlines in the calendar.
Make sure that you put all your deadlines in the calendar straight away. For example, if you know that your PAYG payment summary annual report is due on 14 August set a reminder in your phone so it will alert you when you need to submit it. You can find out more information about these important dates on the ATO website.
Keep up to date with payroll tax changes.
The tax rates change every year. From 1 July every year you will need to make sure that the new tax rates have been applied to the pays. Cashflow Manager GOLD brings out an update every time there is a tax change which you need to install before you start processing payroll for the new financial year. This will keep you up to date with the tax office.
Select the right payroll software.
Luckily the days of managing payroll with a pen and paper are gone. Good payroll software will help you manage pays, taxes, superannuation and more. A lot of these processes are automated so the amount of tedious work is reduced. It will help you run your business much more smoothly and leave you time to work on the parts of your business you enjoy working on.
In accordance with the Tax Agent Services Act 2009 (TASA) Cashflow Manager is not a registered entity and cannot provide taxation advice. You should consult with your accountant or other registered tax adviser for any queries relating to taxation matters.