Payroll

Payroll

Definition of Payroll Accounting
Payroll accounting involves a company's recording of its employees' compensation including:

• gross wages, salaries, bonuses, commissions, and so on that have been earned by its employees
• withholding of payroll taxes such as federal income taxes, Social Security taxes, Medicare taxes, state income taxes (if applicable)
• withholding for the employees' portion of health insurance premiums, employees' contributions to savings plans, garnishments of salaries and wages, employees' contributions to United Way, etc.
• employer's portion/expense for Social Security taxes, Medicare taxes, state and federal unemployment taxes
• employer's portion/expense of fringe benefits such as health and dental insurance, paid holidays, vacations and sick days, pension and savings plan contributions, worker compensation insurance, etc.

Advantages of Payroll Accounting Services
Lower Costs:
You'll pay much less when you outsource your payroll accounting rather than hiring a full-time accountant for your business.

Time Savings:
Free up your time to focus on the big picture of growing your business instead of the day-to-day number-crunching of payroll management.

Peace of Mind:
Trust your payroll services to experienced professionals and you shouldn't have to worry about the IRS knocking on your door.