Now your Small Business has grown enough that you are thinking about offering benefit services to your employees like Insurance, 401ks and the like. You may (should) have a payroll service – I’ll talk about these in another post and they offer bits and pieces of things but not a full suite and not very cleanly. Having setup some companies I can tell you that headaches abound in establishing and tracking these benefits through filings and payroll deductions and payments. There is a new company Zenefits setup to handle these benefits. They even integrate with some existing payroll systems so it automates the recording and setup.
The great thing is they are free. I always ask, what? how? They explain it pretty well on their site. They make their money by taking a commission from the health care insurance side of things. Just like a rep takes his cut they take a cut and it pays for this service. So you shouldn’t pay more for this convenience and believe me it is more like a necessity.
When I first setup a business in 2001 I had to do most of the filings by printing and mailing in forms every payroll period. Keep an eye out for other posts on accounting and bookkeeping, payroll and other services.