Often, this battle is thought of as strictly an external struggle (mainly marketing and public relations), but truthfully the internal conflict is just as important. If your competition is constantly outperforming you but you’re not quite sure why then it may be time to consider payroll software for small business. Alternatively, you can rely on PEO companies to help you with the management of your HR department. Relying on them to manage your HR department can be a great way of bringing efficiency and cost-effectiveness.

The Biggest Problems of Payroll

Staying up-to-date with employee hours and compensation is a never-ending battle, especially if you’re employing a decently sized staff. Although outward appearances may suggest otherwise, there’s actually a lot of work that goes into calculating each paycheck. Every employee must have their hours tracked and confirmed before the calculations can begin. After that, federal, state, and local taxes (as well as FICA taxes) must be deducted from their gross income. From there, deductions such as health care benefits, retirement plans, or child support are subtracted to calculate an employee’s net income. This process must be repeated for every employee, every pay period. Since the process is so complex, payroll employees often struggle to keep up with their workloads. Unfortunately, falling even slightly behind can have a plethora of negative effects for their place of employment, including (but not limited to) audits, fines, and even forced business closure! Beyond the amount of information that needs to be processed each pay period, payroll employees are also often limited by the payroll system they use to calculate payroll. Manual methods are time-consuming and prone to errors, which means even simple mistakes can result in the entire payroll needing to be redone.

The Limitations of Human Resources

Depending on the setup of a company, the HR department may find themselves responsible for managing the payroll alongside Human Resources. However, even without the additional tasks at hand, HR staff certainly have enough on their plates! HR tasks are extremely varied but generally deal with the screening, hiring, onboarding, management, and termination of potential and/or current employees. Employee management itself includes a bunch of other tasks such as health care benefits management, providing counsel to managers, and disciplining out-of-line employees.  The maximum potential of HR is often limited by the systems they use to manage employees. Onboarding employees often requires the use of multiple company-appointed programs, which takes longer to process than when using a single interface. Active employee management may take place in multiple mediums, requiring relevant data to be manually copied over from one program to another rather than being easily accessible. The same remains true for employee termination. When it comes to benefits management, HR staff are often the only ones with access to this information, which unfortunately means that employees will come to them for answers, taking up valuable time out of their workdays.

The Software-Based Solution

Small businesses seeking to maximize their in-house potential should turn to payroll software for small business owners to relieve their stress. Cloud-based payroll software offers an effective way to quickly manage their payroll system using a single interface, automated payroll calculations, and active ACA compliance monitoring. Since this type of payroll platform essentially runs itself, payroll staffing can be cut down, reducing overhead costs to the employer (even if the business is expanding!). HR software offers a similar relief for HR employees, allowing all of their daily tasks to be managed from a single interface rather than through multiple programs. Data is automatically integrated throughout the HRIS (Human Resource Information System), allowing for instant data retrieval at the click of a button. Some systems even include an employee self-service portal, which allows employees to look at personal information like their current health benefits without ever needing to pay HR a visit. 

Multiple Problems, Single Solution

As you can see above, both payroll software and HR software provide quick and easy relief to any productivity or efficiency problems your business may be experiencing. However, why limit success to a single department? All-in-one HR & payroll management systems like UZIO include a multitude of features for managing both departments, allowing information to quickly be relayed from department to department, which reduces multiple data entries while improving processing time. Does the idea of a one-size-fits-all solution for your business sound appealing? Head over to UZIO.com to learn more about their comprehensive business management solutions!


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