Payroll costs extend beyond the dollar amount that goes out on paychecks each week when you add in the administrative costs involved. For companies that work on government contracts, this is even more true due to the time and energy it takes to process certified payroll and complete all reporting requirements. In fact, the amount of time it takes to process certified payroll can even limit a company’s ability to grow since it may require staffing up to take on new work. This makes it even more important to look for ways to streamline processes.
While there is nothing you can do to simplify the requirements of certified payroll, you can reduce burden on your staff with the following tips.
Verify employee information regularly
Make it a habit to periodically check employee information for your entire workforce. You’ll want to make sure everything is correct, and nothing is missing. This includes the spelling of names, accurate addresses, contact and direct deposit information. If your employees have certifications that need to be up to date, you will want to include this in your audit as well. By doing this periodically, you can confidently process payroll without second guessing your employee data.
Digitize time and attendance
Tracking time manually leads to mistakes at several different levels. For starters, employees may not make accuracy a priority, opting to round up hours and even include non-work time on their timecards. Payroll staff may also make mistakes when translating timecard information onto spreadsheets or when uploading data into your payroll system. This is also a tedious and time-consuming process. By digitizing time and attendance, you decrease errors and save time, allowing your staff to be more productive.
Bookmark key government sites
Certified payroll involves following a lot of regulations at the federal, state and municipal level. There are also reporting requirements to comply with as well. Even if your staff has worked on certified payroll for years, the laws are complex and include some moving parts, like wage determinations. By bookmarking key resources, you make it easy to find the important information and forms. You can put these links in a PDF and share it with your entire payroll team.
A few federal links to get you started include:
Certified payroll reporting form – WH-347
Federal wage determinations
Davis-Bacon and Related Acts info
If you do a lot of government contracting, you may want to consider switching to payroll software that is designed to handle certified payroll. An advanced payroll platform can completely streamline your workflow, reduce errors and make reporting quick and easy. This can be especially helpful for construction companies seeking to grow their business by taking on more government contracts.
The material presented here is educational in nature and is not intended to be, nor should be relied upon, as legal or financial advice. Please consult with an attorney or financial professional for advice.