Using payroll compliance software is the easiest way to manage your small business’s needs. A reliable and thorough program will accurately represent your business’s current standing. Additionally, a tool like this will reveal any management discrepancies. As you fill out your quarterly payroll forms or year-end reports, avoid relying on manual filing. Although mistakes are still possible when using payroll software, you can more easily identify and rectify them.
Understanding what can go wrong in your business is the first step in avoiding future errors. Advanced Micro Solutions provides consistent accounting and payroll software for small businesses navigating payroll compliance practices for the first time.
The Most Common Payroll Compliance Problems
Your payroll compliance software is only as reliable as the data you input. However, small businesses are still susceptible to making mistakes. If you fail to address problems, misunderstanding accounting requirements can derail your business. Some of the most common mistakes include the following.
Data Entry Errors – There are a handful of frustrating yet avoidable data entry errors. The big mistakes can include entering items into the wrong account or switching the order of numbers. You may also find that you left out a decimal or added an extra digit to a figure. Misrepresenting an expense as income can also cause problems.
Errors of Omission – Overlooking your data or forms can still occur with payroll compliance software, especially if you or one of your workers is overwhelmed. Small businesses rely on workers to sometimes fulfill multiple job duties. Noting the receipt of an invoice or properly filing documents can easily slip through the cracks if you are not fully focused.
Errors of Commission – Putting the right amount in an incorrect sub-account can create many future headaches. Nothing will aggravate an accounting professional like looking at correct total payments but seeing the wrong figure for a specific individual.
Unintended Duplications – Putting in the same data for income or an expense might be more common than you think. Giving too many people access to your company’s payroll system is one way to create these or similar types of discrepancies.
Entry Reversals – You will need to rectify a mistake if you put an invoice inaccurately into accounts payable instead of accounts receivable.
Using AMS for Payroll Compliance Software
Making payroll errors can cause both minor and substantial business complications. Reduce potential errors and problems by quickly rectifying any unintended discrepancies. Advanced Micro Solutions Payroll Software is a cost-efficient, reliable solution. Your business can transfer data using AMS’ software to state and federal quarterly unemployment forms. You can also use an E-Filer software to electronically report year-end W-2 and 1099 forms to the Internal Revenue Service and Social Security Administration.
Your business can import its data from applications like QuickBooks, Excel, and Tab Delimited Text files. Minimizing the data entry steps and avoiding manually inputting data will prevent any needless errors. Try AMS’ free 1099-etc Demo to gain a quick and thorough understanding of the program. Schedule a 1099-etc Demo or call 1-(800)-536-1099 with any other questions.