Small Business Hacks: How Using Payroll Software Can Be Immensely Beneficial
Not all superheroes wear capes, and with the challenges that small business owners face continually, they’re no less than superheroes either. Some say owning a small business can teach you lessons worth a lifetime. From knowing which kind of people to hire to organizing and managing meetings with potential investors, one needs a Jack of all trades to be a small business owner.
Here are some interesting facts about small businesses in recent times that show that they have been growing at a steady pace, contributing positively to the economy overall.
- USA has 28.8 million small businesses operating in the country.
- Small businesses constitute 99.7% of the country’s total number of businesses.
- Small businesses in the USA employ around 56.8 million people (48% of the total employed population).
- Small businesses (especially the ones having around 200 employees) have recorded a high growth rate of 25% annually over 2011-1017.
These go a long way to prove that despite having to look after the minute details of their businesses, small business owners are carving a niche for themselves as well. Be it tackling the regular sales pitch meetings or keeping a tab on back-office operations; small business owners almost always have too much on their plates.
Most small business owners state that payroll is one of the worst challenges that they have to face when running a trade. Studies show that it has been the point of contention for firms that have less than 10 employees as well.
Since employee costs and managing payroll often take the form of nightmarish proportions, it is best to resort to tools such as payroll software in this era of digitization. You can benefit immensely from using a payroll software that takes care of one of the most complicated tasks of owning a business – whether small or large.
Benefits of using payroll software
Here go the 10 benefits of using payroll software for businesses
- Saves you more time than you think
Small business owners reportedly spend a considerable amount of time (about 10 hours) each month managing payroll tasks. If you choose to go the smart way and bring about an effective payroll software for your business, the chances are that you will save up on more time than you can possibly imagine. As a small business owner, you would actually be thankful for all the freed up time in your schedule that you can put to good use for taking the business to newer heights.
- Saves you the greens too
Running on a shoestring budget when compared to the business biggies, small business owners are sometimes at a loss about how to reduce costs to maximise profits. Since payroll software is a cost-effective solution, you can reduce costs by cutting down on paper and staffing expenses. Reduced employee costs in a small business can have a huge impact on the funds.
- Has greater accuracy levels
One mistake in calculating payroll and we all know what ensues – a dreaded scenario for every small business owner. Since payroll software ensures greater accuracy, small business owners can heave a huge sigh of relief. When you have to manage all the tasks in a small firm (mainly due to lack of human resources), payroll software is sure to take a heavy load off your shoulders with splendid levels of accuracy. Human errors are thus now a thing of the past with state-of-the-art payroll software.
- Offers fortified data security
Cloud-based payroll software makes keeping copies of all documents a walk in the park for small businesses. Providing a host of options for making multiple copies of all data and records, payroll software thus ensures fortified security. You do not have to worry about losing a hard drive or misplacing tax files anymore. Payroll software stores and secures all your data in one place that you can access any time you need.
- Does not require an expert accountant
It is understandable if you are not in a mind to hire a top-notch accountant to manage the accounts, including payroll tasks. A cheaper and better option is thus to go for a payroll software instead. However, you do not need def accounting skills for managing the payroll tasks for your small business. Payroll software is tremendously easy to use, and comes with detailed instructions with each update. Go through the user manual once and you will be good to go – no accounting skills required!
- Makes your employees all smiles
Quicker and more efficient ways of managing payroll directly translate to happy employees. This makes way for increased productivity. And that, in turn, leads to better business and enhanced revenue rates. As automation and augmented reality technology in the software offers a plethora of options to manage payroll tasks with ease, complications in employee payroll has become a thing of the past. Hence, you can keep your employees happy and productive.
- Keeps data super-organised
Managing financial factors of the business, including how you process payroll, is one of the biggest challenges that small business owners face. Since you have all the data in one place when you use a payroll software, this task becomes a whole lot easier. You can quickly check payment logs, tax and super guarantee rates as and when needed. Payroll software thus creates an audit trail for you to gather and cross-check data super-fast.
- Quickens up payroll pace
Payroll software helps in quickening the pace of payroll tasks, preparing detailed reports at a click. The entire process of managing payroll tasks thus becomes easier with the fast-paced technology. What it means for small businesses though, is greater efficiency. You can, therefore, ensure that business moves at a rapid pace once managing payroll becomes a much quicker process than before.
- Makes tax filing an easy breeze
No need to dig up month-old payslips or payroll records when it is time to file your taxes. Payroll software enables efficient management of tax filing tasks. Preparing financial statements for your small business will be easier with a payroll software. Complicated superannuation rates and nightmarish tax tables can be championed at the click of a button using payroll software.
- Paves the way for growth in business
Who would have known that payroll software could help you keep a track on the growth of your business too? Payroll software enables you to be flexible and scalable at the same time. Adding new employees to the payroll as your business grows or generating detailed payroll reports is simple enough, if you have the right software in place.
From reducing costs for maximised profits to tackling tax filing tasks efficiently, payroll software is thus one of the best solutions for a small business. Small business owners show a growing inclination towards payroll software as competition increases in the digital era. As a small business owner, you can instead focus on the growth of your business once payroll software gets cumbersome payroll tasks out of the way. Godspeed!