Compliance is hard, time-consuming, high-stakes work. Many companies find that keeping on top of the ins and outs with an in-house team gets harder as laws change (and then change again). Whether you partner with a payroll service or build a team to do the job, you want to be sure they’re fully in position to protect you and your company.
What to Look For In an Employer of Record
1. Ability to Diffuse Legal Landmines
Contractor/freelancer payment and compliance regulations are ever-changing. Hedging your bets on the legal front means mitigating compliance risks, making sure you are compliant, educating yourself on practices that could compromise you, knowing the state and federal differences in minimum wage and sick leave policies and more. You should also be ready to head off potential vulnerabilities by teaching employees how to appropriately fill out timesheets.
2. Paying Accurately And On Time
This seems obvious, but nothing will tank your credibility faster than having employees come to you over inaccurate or late payment. This is especially difficult if your workers are in multiple states (and therefore, under different legal requirements). If you’re not ahead of tracking benefits eligibility and overtime, you’ll lose trust with employees, which affects employee morale. Services with online management for employees and managers as well as practices in place to prevent unnecessary overtime will help payroll services run like a dream.
3. They’re Ready For Changes
The most effective teams have dedicated people to researches changes as they happen so the company can take the necessary steps. They read forums like a boss and stay up to date on payroll regulations in every state. Navigating the increasingly-complicated waters of payroll services means making sure you’re following all regulations, rules, and federal and state laws.
The Bottom Line
Labor laws and fair pay standard practices are in a constant state of change. The gig economy and the worker classification challenges it brings to the forefront are top-of-mind topics for the government, employers, and employees alike. Whether it’s your internal team or a partner, pick someone who can stay ahead of the curve so you never even have to think about payroll services and compliance. Life and work is chaotic enough.
As a payroll partner, PayReel makes compliance and payroll the easiest part of your day with a full range of services. We make sure our clients are able to hire who they want, when they want and see that everyone is paid properly. Contact us anytime at 303-526-4900 and meet the PayReel team here!