ADP® Full Service Payroll
ADP1 full service payroll streamlines payroll processing, providing solutions to help you:
- Preview and verify cash required before processing payroll
- Pay employees by direct deposit, check or prepaid debit card
- Offer employees online and mobile access to their wage and earnings statements
- Manage payroll on the ADP Mobile Payroll Application for AndroidTM 2 or Apple® 3 devices4
- Import payroll data to QuickBooks® 5,6 for online reporting
- Trained, experienced payroll professionals available 24/7
Tax & compliance
We'll help you file taxes7 correctly and on time.
- Federal, state and local income taxes calculated, deposited and filed automatically
- Support when taxing agencies question the deposits or returns we file for you
- Unemployment insurance, Social Security and Medicare tax management
- Year-end W-2 and 1099 reporting
- Prompt new-hire reporting
Our partnership with ADP includes HR support to help you take the guesswork out of managing your employees and finding new ones.
- One-click function with ZipRecruiter®8 to instantly post positions to 100 of the top job boards
- Custom job descriptions to help identify job candidates
- Background checks to help you make informed hiring decisions
- A comprehensive, professional-quality employee handbook created in a few simple steps
- Time and labor, tracked efficiently and accurately and integrated into your payroll system
- Online library of resources for quick access to HR forms and documents
- Access to certified HR professionals to answer your questions
Payroll options for your small business
Whether large or small, all businesses must effectively manage payroll. If a small business doesn't pay its employees on time, or correctly, there could be legal consequences as well as increased employee turnover.
Payroll is more than just making sure your employees get paid on time. It also includes:
- Abiding by current employment, wage and tax laws—from employee withholding to the payment of payroll taxes
- Updating and tracking employee sick time and vacation time
- Adjusting payroll for employee raises (or pay cuts)
- Providing wage garnishments when necessary
The payroll function includes any required compensation-related issues. If you can't perform these services accurately or on time, you should consider outsourcing some or all of it. Most payroll service providers offer two types of payroll processing: full service payroll or in-house payroll services. Let's take a closer look at each type.
Full service payroll provider
The beauty of outsourcing your entire payroll function is that everything is done for you. You don't have to think about a thing. For a monthly fee, you simply forward employee information and other required details to your payroll service provider, and they do the rest. Here are some of the typical services you may get from a full service payroll provider:
- Preparing and filing taxes electronically and providing you with tax notifications (such as 1099 and W-2 forms)
- Providing online and mobile access to employment reports and other information—you and your employees can download directly
- Preparing and cutting paychecks and then mailing or submitting them for direct deposit payment
- Preparing and making tax deposits and payments for your business
- Providing garnishment payment services
- Providing human resource management tools and managing time and labor reports (including new hires)
- Keeping State Unemployment Insurance (SUI) updated and incorporated into your payroll checks and other records
Most payroll service providers will assign a full-time payroll specialist to assist you with any questions you may have.
Your small business may have only a few employees, or it may just be you. In this case, a full service payroll provider may not make much sense. But many small business owners use a portion of the services offered by full service providers to cover the things of greatest importance to them—for a small monthly fee. Here are a few things you may hire a payroll service provider to help you with:
- Keep track of tax payments and forms online so you don't miss any important details or deadlines
- Get quarterly reminders when tax payments are due and electronically submit payroll taxes as well
- Receive signature-ready tax forms to fill out and submit either electronically or by mail
- Pay your employees by direct deposit or create and print your own payroll checks
- Review payroll reports online and then export them to your small business software
Choose the best option for you
Be sure to shop around for the right payroll service provider for your business—not all providers are equal. Focus your search on three top considerations: the services you need, accessibility and cost. Talk to your CPA (or others in your industry who use payroll service providers) for recommendations. Whichever option and provider you choose, outsourcing payroll will allow you to focus on running your business each day—and not payroll.
6 tips to avoid common payroll mistakes
Payroll tasks can be time-consuming and complicated. And mistakes can be costly, especially if they're serious enough to incur regulatory penalties.
1. Carefully set up your payroll system and update it regularly
Take the time to input correct employee information, tax withholding amounts and payment information. By doing this, you'll avoid paying the wrong amount to employees and stay away from errors in the long run.
2. Pay your employees on time
If you want to keep employees motivated and productive, you need to make sure you pay them on time. Plus, if you pay employees late, or miss paying them entirely, you'll have to backtrack—and that will likely lead to payroll errors.
If you find you can't keep up with payroll, it may be time to hire a payroll processing service to help you. They'll take care of as much or as little as you want (for a fee). But it may well be worth it to free up your time and ensure that your employees are paid the right amount on time.
3. Pay employment taxes on time
Once you've collected payroll taxes from your employees, and contributed your share as well, you must report this information to local, state and federal tax authorities. Be sure you pay them on time—if not, you may end up paying a 15% penalty by the IRS (which can be pricey).
4. Keep updated payroll records
Your payroll records should be updated regularly—time sheets, expense accounts, copies of W-2s and other payroll records. These should readily available for IRS review and maintained for at least 4 years.
5. Classify your employees appropriately
If you use independent contractors, you'll pay them differently than regular full-time or part-time employees. So be careful not to "misclassify" employees as independent contractors to avoid paying employee taxes. If you do so, you'll end up paying retroactive payroll taxes.
6. Display the appropriate posters
There are certain workplace posters you're required by law to display. If you're not sure what to post, check out the Department of Labor's FirstStep Poster Advisor for assistance. If you have employees who work from home, you may also need to mail them a physical copy of workplace posters or provide them with a link to that information.
The bottom line
By following these tips, you'll be able to avoid the common payroll mistakes made by most small businesses. If you need more assistance with payroll, it may be a good idea to talk to a payroll specialist or hire a payroll service to help.
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