A payroll tax refers to the percentage of payroll funds withheld from an employee’s pay by their employer. The employer pays that percentage to the government on the employee’s behalf based on wages, tips, salaries and other factors. These taxes fund specific government programs, such as Social Security, and Medicare, among others. These taxes are limited based on income and can be seen on your employee paystub.
Managing your payroll tax deductions can become tricky for business owners, as you are responsible for paying your employees and deducting the correct amount for these programs. Calculating what is to be withheld, managing forms and ensuring that everything is completed correctly can be a lot for one person or team to handle, especially if their operation is growing. This is why certified public accountants offer payroll tax services, to help local business owners manage these numbers and stay on track without mistakes or financial mix-ups.
From W4 forms to I-9 eligibility verification, employers are expected to make sure that all information gathered is honest, correct and filled out the right way. Business owners are also responsible for filling out their own set of forms every year and for keeping up with any tax deadlines for their business and employees specifically.
On top of the federal requirements, every state also has its own set of specific payroll deductions and guidelines. Managing this, on top of the federal demands and employees, business operations and personal expenses, is more than enough for anyone to handle on their own. For business owners in High Point, Kernersville, Greensboro, Winston-Salem, Clemmons and surrounding communities, Follin and Associates, PLLC is here to offer dependable experience. Whether it’s tax season or just another stressful month at work, we’re here to help make sure that all payroll taxes are being distributed and collected correctly. With us, you never need to worry about being in hot water or taking too much from your employees; we’ll take care of it!
Get in touch today to speak directly about your needs and concerns. We appreciate your consideration and look forward to working with you.