There are a lot of reasons why you should consult with some of the most efficient professional accounting firms in Santa Rosa. This is an extremely vital step, especially when you own a business. There are certain aspects of every business. What seems to be quite confusing to most business owners are payroll and payroll taxes.
Depending upon the industry you serve, and the location of your operations, the rules and regulations related to your company’s payroll and taxes are subject to change any time. Therefore, you should keep your senses active, and ensure that your organization abides by all the legal regulations put forward by your local and national tax agency.
We intend to communicate with you the various aspects of payroll set-up. You’ll get to know everything about paying your employees, and setting up a solid payroll system. So, let’s get started, and talk about it in detail.
Understanding Your Responsibility
Now, we believe, you already have a fair understanding of the employment taxation systems in the United States. No matter how many days your employee has served the company, you must take effective steps to pay him all he deserves. Any fault in the payment would make your company liable to legal actions.
Employment Taxes You Should Be Aware Of
As an employer, you need to know about the following types of employment taxes:
- Federal income tax withholding
- State income tax withholding
- Local income taxes in several provinces
- State workers’ compensation funds
- FICA taxes (includes social security and Medicare)
- State and Federal unemployment taxes
All About Employer Registration
If you have just started out in the business world, and don’t have a clear understanding of how payroll systems are sorted, the very first step you should take before hiring your first employee is applying for employer registration. You must indicate yourself as an employer, and that would require a few legal works. For instance, you would require getting hold of an Employer Identification Number (EIN).
Consulting with an accounting firm can make things easier for you. Consider seeking assistance from Virtual Jeannie Bookkeeping Services Inc. for payroll processing services, and preparing and filing sales tax returns. Call us at 707-664-1425 for more information.