Do you run a small business? You don’t need to fork over big bucks to run your payroll. With the help of simple computer programs, you can do it yourself in no time.

Even with capable software, you’ll still need a few tips to check all the boxes and make sure your DIY payroll runs smoothly.

Do you know how to do your own payroll? Here are five tips to help you simplify the process.

1. Keep All Your Forms Together

When you hire a new employee, ask them to complete their W-4 form before they start work. You need this form to figure out how much of their check to withhold for taxes each period.

Keep all your W-4 forms and other relevant tax information, like your Employer Identification Number, together in the same spot for easy access.

Don’t forget to uphold confidentiality and privacy rules by keeping all personally identifiable information in a secure location where it can’t be casually spotted.

Is it tax time already? Keep your W-2s and your other tax forms in the same area. When you keep everything together, you’re better prepared for your federal filing and the potential of an audit.

2. Set a Schedule and Stick to It

Will you pay every Friday or every other Friday? Maybe you’ll pay on Wednesdays to battle hump day.

Create up an agreed payment schedule and stick to the date. Set it in stone and publish it in your company handbook so everyone knows when to expect it.

Don’t forget to double check whether your pay schedule complies with your state’s rules. And choose a date that works well with your cash flow. Failing to pay on time can land you in serious trouble with the state and the federal government.

3. Take a Payroll Training Course

Accuracy in withholding taxes is vital for your business and for your employees. You wouldn’t want to land either in hot water come tax time.

Don’t try to wing payroll on your own. The processes are simple, but the rules change all the time. Take a training course in DIY payroll to learn the basics and find out where to turn to for more information.

4. Be Careful with Remittance Money

The money withheld from paychecks goes to the government according to a set schedule.

If you spend the money, you’re liable for it.

If cash flow is a problem and you want to be extra safe, put the remittance cash in an account separate from operating funds, so you’ll know its there when you need it.

5. Make Security a Priority

Even if you do everything right, threats lurk around the corner. Protect your finances and your employees by shoring up computer security before you take on payroll duties.

Let employees know when things change. If you create pay stubs with a new provider, send an email to let everyone know personally. Knowing when changes occur protects employees from phishing scams.

It’s Easy to Learn How to Do Your Own Payroll

As a small business owner, you’re a jack of all trades. With the help of pay stub systems and payroll software, you can save your hard earned money by learning how to do your own payroll.

Ready for more? Visit our Useful Tips section for all things DIY.