Payroll Errors That Cost You Money and How to Fix Them

Believe it or not, payroll errors do happen and more often than you may think. Any of these errors can open your business to the chances of a lawsuit, IRS penalties, and liabilities. If you’re still using handwritten payroll methods, it may be time to look into a new payroll service.

Do Payroll Errors Really Happen?

Chances are if you’re the owner of a small business you’re opening yourself up to the chances of errors if you’re using pen and paper payroll methods. While you think you are taking precaution and doing everything in your power to stop any errors from occurring, you have to remember that mistakes do happen. As a business owner, you don’t have extra money to be asking your bookkeepers to be checking their work meticulously. Chances are if there is even a slight error, your business could be losing money and you could risk opening yourself up to being sued.

Common Errors That Occur

There are so many small mistakes that can happen when bookkeeping, so to help you get a better idea we’ve compiled a few common mistakes;

Payroll Document Issues

If you’re still using paper sheets to fill out timesheets and keep track of punch cards, you have to remember that these can easily get lost or damaged. These sheets can be swapped, altered, destroyed, and lost. You’ll have no backup data or any documents which may help you in a lawsuit. That’s why it’s better to switch to payroll outsourcing companies that document everything on a server.

Absence Situations

Members of your team will use their vacation and sick days. It’s important to know who worked what shift and when, and to have it documented in order for payroll services to work properly. If there happens to be a mix-up, you may be paying extra money for shifts that never even occurred. Read more.

Lazy Payroll Staff

While you want to trust that your team is doing their best at their jobs. That’s just not the case with many of the employees today. Some slack off and don’t pay enough attention to the jobs their doing. W

How to Fix Them

Let’s face it, even if you give your staff a stern talking to about errors, chances are an error will still occur. Why? Because they are human and humans make mistakes without realizing it. So, if you want to keep your business functioning at its best, then you may want to start to consider to look into different payroll services. Payroll services help you create a way to track all of your information online and then you can easily refer back to it when needed if there are any mistakes, they can easily be corrected.

 Conclusion

If you or your business are having trouble with your payroll services, we highly suggest that you upgrade to a more modern one. Here at PayrollServicesAustralia.com.au, we can help assist you by connecting you with the top rated payroll services. Check out this site: http://payrollserviceaustralia.com.au/payrolloutsourcing/

 

 

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