Payroll Tax Errors Can Cost You – Payroll Firm in Sioux Falls, SD
Imagine being arrested…when you’ve done nothing wrong.
Now that I’ve got your attention, realize that this could very well happen to you—if you place your trust in a dishonest or incompetent bookkeeper. When payroll taxes are paid incorrectly, it’s the employer that is liable for payroll fraud—even if you didn’t know about it. Avoid these penalties by hiring a competent payroll firm in Sioux Falls, SD.
The penalties for this type of infraction vary on the severity and the nature of the instance. If you’re late paying your payroll taxes, there’s a financial penalty based on how late the taxes are eventually paid.
Penalties for Late Payments
Here’s how late payroll taxes are broken down, based on the deposit.
- 1-5 days late — 2%
- 6-15 days late — 5%
- 16 or more days late — 10%
- Over 10 days after IRS notice — 15%
Failure to pay taxes at all can result in a fine of up to $10,000 dollars—and/or 5 years in jail!
Keeping the Cuffs Off
Your solution to the unskilled or crooked bookkeeper (who may even embezzle rather than deposit your taxes) is a reputable, local payroll firm in Sioux Falls, SD.
Outsourcing your payroll releases you from the clutches of the evil wizard accountant with something to gain from having access to your accounts. You—as the “responsible party”—would do well to put your trust in a local payroll firm whose business it is to use the latest software to ensure that your payroll is done accurately and within compliance.
Cloud-based payroll takes away a lot of the risks involved with payroll taxes, along with providing quite a few benefits.
First of all, it’s simple, convenient, and reliable. This means that it is easy to use, not time-consuming, and you can be sure that you won’t be dealing with the odd error here or there (nor the intentional funny business from someone who’s supposed to be working for you).
Facing the Alternative
Doing your own payroll or paying an employee to do your payroll (apart from the aforementioned issues) can become expensive over time. Even 15 minutes a day can equate to $10,000 a year for a small business of 5-10 employees!
But that’s not all!
The APA estimates that between 2 and 6% of manual timekeeping calculations have an error. This costs you money in the first place, but if the error is detected, you’ll then have to expend more resources to correct and reissue the correct payroll, which again will put you at risk for human error!
Try out our timekeeping calculator to see how much you can save by outsourcing your payroll to reputable professionals.
The Automated Timekeeping Solution
Outsourcing to a payroll firm in Sioux Falls, SD eliminates the risk of error, the risk of wasted resources, and, most importantly, the risk of jail time!
Automated timekeeping syncs with the payroll system and accounting software for streamlined efficiency without duplication of data entry. Add in better payroll reporting, as well as more accurate job or department profitability reporting, and you’ve got everything you need for fast, simple, accurate payroll processing!
No set up fees for new customers who sign up by March 1!