Manufacturing is the economy’s engine, creating jobs and making the necessary tools and goods for other industries. This huge role is paired with outsize challenges and responsibilities, especially concerning payroll. The intricacies of payroll in this sector, especially for smaller manufacturers, can be outsized in your HR department’s duties, taking time away from other tasks. Some of the common challenges companies in our manufacturing industry face:
The Importance of Accuracy
A recent study found one in three employers make payroll errors each year. This can result in a headache of amended forms and costly penalties.
Several factors influence different employees’ pay scales. Although these can be difficult to understand, your relationship with your employees depends on an accurate payroll for every pay period.
Shift differentials can be in effect for some or all hours an employee works. Union-specific rules can further complicate matters. Employers who make serious errors can waste hours chasing issues down. Sometimes, problems with payroll can lead to painful financial penalties and fines.
It can be time-consuming and difficult to keep everything straight if you are trying to manage payroll processing with cumbersome tools like spreadsheets.
Trusting your payroll to a dedicated outside vendor means more time for the in-house functions you thrive at. We provide customized solutions for every business we deal with.
Handling Complex Employee Classifications
Manufacturing companies of every size deal with a mix of full-time and part-time alongside seasonal and independent contractors. Classifying each employee correctly is imperative.
The classification can affect issues like unemployment benefits, workers’ compensation, and other requirements. You need to be sure you have a system that gets all of this right.
Keeping Compliant
It can be difficult to keep up with changing rules, and mistakes in this area can be costly and unpleasant.
Dedicated payroll experts like ASAP Payroll stay current on all payroll-related issues. You don’t have to worry about running afoul of the latest ACA requirements or payroll tax laws.
Privacy and Security Requirements
Safeguarding employee and contractor data is more important than ever. Breaches can cause significant data loss and exposure to private information.
As employers dealing with payroll, you safeguard sensitive information like addresses, Social Security numbers, account numbers, etc. Failure to properly store information can result in hefty fines and hits to your reputation.
ASAP Payroll deeply understands the processes necessary for keeping this information safe and using it to ensure your employees are paid in full and on time.
ASAP Payroll Can Help
The manufacturing industry faces challenges like varying shift differentials, overtime calculations, and union-specific rules. It can be time and labor-intensive to get it all right. Navigating payroll compliance in the manufacturing industry requires a specialized approach from professionals dedicated to untangling the complications and ensuring payroll is timely, accurate, and compliant with all relevant regulations.
ASAP Payroll offers custom solutions to help your manufacturing business comply with complex payroll regulations and minimize your risk of costly errors and penalties. We make sure your valued employees are paid accurately and on time.
Discover how ASAP Payroll can simplify payroll challenges for your manufacturing business. Request a quote today.
