There are so many resources out there that give you a checklist of starting a business and hiring your first employee. These lists are not all comprehensive because it they are general and almost always based just on the basic federal checklist. What about state and local checklist? Hiring a new employee is a complex and time-consuming process. Planning an employee’s compensation plan, taxes, exemptions, incentives and benefits takes strategy. Not to mention the time out of your busy schedule.
How well is your strategy? A payroll needs to cover all the laws and regulations to stay compliant on a federal, state and local government level. The time and research to cover all these areas does not always come with a checklist. Setting up your records for federal income tax withholdings is more than just the W-4 form, you are responsible for the W-2 form that details each employee’s earnings and taxes that are withheld. Next step in that process is the Social Security and FICA withholdings. Then to remember all the state filings, always depends on your state on what is or is not required.
Does your strategy consider on how long you should hold on to your employment tax records? It is recommended up to six years and there could be a case where you will need to hold on to them longer. A great strategic plan and system keeps an organization on track and healthy. Red River Payroll does a comprehensive analysis of your organization, prepares taxes, statements, and more so you can work more efficient and save time. Whether setting up to hire your first employee or your hundredth, Red River Payroll streamlines your process and keeps you compliant with federal, state and local laws and regulations. Contact us today because #payrollispersonal.