Of course you can, but don't forget to also pay your payroll source deductions by the required deadline to not have to pay hefty penalty and interest fees, prepare your T4s at the end of the year, prepare your Records of Employment following the rules and deadlines, verify that you are paying the correct minimum wage, the right amount of overtime depending on your field of work, calculating statutory holiday pay correctly, and the list goes on.
Writing a cheque to your employee(s) is one thing but managing payroll while following all the regulations is another. Outsourcing payroll allows you, as a business owner, to have peace of mind that all requirements are being met.
When considering whether payroll can be done internally or
outsourced to a third party, it is important to confirm the
understanding of the following:
1. Payroll basics such
as minimum wage, CPP, EI and personal tax credits;
2. Employment benefits
and how they are treated;
3. Government
requirements for payroll source deduction payments and payment
options;
4. When and how to
prepare Records of Employment;
5. Staying informed of
payroll changes such as minimum wage, vacation requirements,
sick leave changes, and any other matter that is governed by
the Employment Standards Act;
6. Overtime pay
requirements;
7. Calculation of
Statutory Holiday pay, if it applies;
8. Annual changes to
payroll based on federal and provincial changes;
9. Use of the right
software; and
10. Not overpaying for payroll
services whether internal or external.
If you are looking for guidance to evaluate whether your business should be outsourcing payroll, contact us at info@tandembooks.ca.
