Managing Payroll for Small Recruiting Firms

As the owner of a small staffing firm, your day is probably filled with more tasks than most people accomplish in a week. You’re responsible for attracting new business, finding candidates for your clients’ open positions, checking in on contract employees you’ve placed, managing your own staff, and so much more.

While you may have the ability to push some tasks aside for a day or so, payroll is not one of them. If you’re simply too busy to complete this task, or have not received proper training to do it right, managing payroll on your own can be daunting.

Challenges of Managing Payroll.
Before running your own agency, you may have worked at a larger company where an entire department handled payroll functions. Although you may not have realized it then, managing payroll takes a lot more effort than simply writing out a paycheck. Here are a few reasons why:

  • State Laws: Different states have different payroll laws that impact factors like overtime, taxes, and employee termination. For example, some states require companies to provide employees with their final paycheck on the day they’re terminated, while others do not.
  • Correct Forms: The person responsible for payroll must have in-depth knowledge of the forms both employers and employees are required to complete to provide accurate tax and benefit information.
  • Consistency: Payroll must be completed the same way each pay period. You’re required to file taxes on time, send payments to benefits administrators, and make any necessary changes on behalf of employees. For example, an employee who gets married or has a baby might need to adjust their W-4 withholdings.

Completing all of these payroll tasks can be very time consuming, taking your attention from your staff and business, where you’re needed most.

At ECS, managing payroll is our business. Our company was founded in 2000, with the goal of providing recruiters with a one-stop staffing support solution that includes complete financing and back office support. We provide seamless support services, so our clients can keep their focus on growing their staffing agencies.

ECS provides our support services to recruiters nationwide. If you’re looking for a reliable team to handle your payroll and back office needs, contact us today to get started.

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