How to Stay on Top of Payroll Administration and Legislation
Payroll administration can be a burdensome task for many small business owners. Especially if you manage payroll on top of other duties, finding the time to stay on top of it all the while keeping up with changing laws and regulation is a challenge. Unfortunately, you cannot afford to make even a small mistake like forgetting to file on time, otherwise you might find yourself in trouble with the Australian Taxation Office.
Today we’re going to provide you with a few tips to help make administration easier while helping you avoid common pitfalls.
Don’t Miss Deadlines!
The single most costly mistake that many small business owners make is missing tax deadlines. We know how hard it is to keep track of tax deadlines when you’re running a small business and juggling other responsibilities but the Australian Taxation Office isn’t quite as forgiving. For this reason, as you do your payroll, you should also have a calendar of important tax deadlines to help you stay on schedule.
Attend Training Sessions
Periodically, you’ll find training sessions for small business owners in your community. These workshops will help you learn more about payroll administration best practices, along with any changes to regulations you should know about. Although these might require you take time out of your busy day to attend, they can be incredibly helpful in many cases and save you the time of researching on your own.
Use Payroll Software
If you’re still completing payroll administration with a basic spreadsheet platform or worse, pen and paper, then you should consider investing in a dedicated platform. These tools will help you keep track of your payroll processes throughout the month rather than at the end of the pay period. Also, you can automate calculations like withholdings and more to increase efficiency and cut costs.
Let’s Talk About Single Touch Payroll
If you employ more than 20 employees, Single Touch Payroll will affect you, so you must ensure that you’re ready. If you aren’t aware, Single Touch Payroll is a new initiative from the Australian Taxation Office that will go into effect on 1 July 2018. (Note that this initiative will be expanded to include employers with 19 or less employees from 1 July 2019).
Essentially, the new legislation requires business owners to report wages and salary payments, pay as you go withholdings and superannuation information each time they pay their employees. The intent is to streamline the payroll administration process and make it simpler for employers.
Hire Professionals
If you want to focus on the core of your business instead of keeping up with changing payroll rules and regulations, you can hire expert bookkeepers like ABJ Business Solutions. Our certified professionals are up to date with the changing payroll laws and will save you time and money. To learn more about our services, feel free to contact us today!
