Guest Blogger Day: 8 Expenses to Factor into Your Home Budget

Friday is our guest blogger day and we have a great one for you.  Even payroll professionals still need to handles the basics of family budgets.  We hope you find this article from earnin.co useful.  Please let us know in the comments section below.

Your home budget, also known as your household budget, is the money you set aside that will go toward essential living expenses. It’s critical to budget your finances to only spend what you can afford and reach your savings goals.

You can guess what kind of things go into a home budget: rent or mortgage, groceries, savings, debt repayment, utilities, etc. However, people sometimes forget to factor the following expenses into their budgets, which catches them by surprise and forces them to reallocate their spending. Keep these costs in mind when figuring out how to budget your monthly paycheck and savings:

Transportation & Parking

You know you’ll need to pay for your vehicle each month if you own or lease one, but what about gas? Parking? If you don’t own a car, then how much does public transportation cost in your area?

According to Student Loan Hero, the United States’ median household income was $61,937 in 2018. Households that earned this amount spend an average of $763 per month on transportation, including gasoline and car payments. Public transportation is cheaper, but again, it depends on where you live — you still might spend as much as $160 per month if you exclusively use Bay Area Rapid Transit in San Francisco.

Insurance Premiums

Insurance premiums are a significant hit on your wallet, but they’re necessary to have. Health and car insurance go without saying, but you may owe mortgage insurance if you put less than 20% down when purchasing your home. There’s also life insurance, personal insurance, contributions to social security, and more.

It’s difficult to calculate how much the average person in the U.S. spends on insurance because people’s situations vary tremendously. You might be lucky and only spend a few hundred dollars a month if you live in an inexpensive state and only need the basics. If you need more, then you could spend well over a thousand. Other factors affect your insurance premiums, too, such as your age, marital status, job, and education level, so combine all kinds of insurance you need to pay for when calculating your monthly household budget.

Out-of-Pocket Costs and Emergencies

Insurance doesn’t cover everything, though. Medical care is notoriously expensive in the U.S., so you should be prepared to pay out-of-pocket costs that exceed the scope of your health plan.

Disasters strike in other ways, too. Hopefully, it’s small — maybe you spilled coffee on your only nice shirt and need to buy a new one for work — but it might be an outright emergency, such as someone robs you or a natural disaster impacts your home. It’s crucial to have emergency money set aside to cover an irregular or unforeseen circumstance.

Pet Care

You budgeted to feed yourself, but what about your pet? These costs might be low if all you need to buy is food every month and a few toys that last you a year, but vet bills can be expensive if your animal friend has health issues. If you prefer to outsource much of your pet care, you should budget much more to account for sitters, boarding, and walks. Of course, pet care expenses depend on the kind of animal you have, so anticipate how much financial TLC your pet will need.

Subscriptions and Memberships

Subscriptions and membership fees on auto-renewal can sneak up on you. Don’t fall into the trap of thinking you’ve planned your budget for the month perfectly, only to be hit with a $15 Netflix bill you forgot to account for. These costs shouldn’t be out-of-sight, out-of-mind, so keep track of streaming services, subscription boxes, or shopping memberships you pay for.

Fees, Fees, and More Fees

Fees are everywhere. They’re like pests you can’t seem to get rid of, but you forget about them when they’re not in the room. Make a list of all the fees you might need to pay throughout the month, including:

  • Bank account maintenance fees;
  • ATM fees;
  • Overdraft fees;
  • HOA dues;
  • Credit card fees;
  • Late fees;
  • Monthly service fees.

 

And more. There are ways to avoid or reduce many of these, but don’t buy something you don’t need if a fee will hit you later and you’re living paycheck to paycheck.

Home & Vehicle Maintenance

It’s rare for everything to work as it should, especially if you can’t afford high-quality goods that last longer. Expect to pay for vehicle upkeep, appliances that stop functioning, and fixing potential damage. These costs are related to your emergency funds, but paying for regular maintenance will (hopefully) prevent actual emergencies from happening in the first place.

Different Kinds of Savings

Save as much as you can. Don’t forgo leisure entirely — it’s important to your mental health to have fun, and you deserve to — but besides general savings accounts, remember to save to buy a house, pay for college (or someone else’s education), emergencies, retirement, and more. Your monthly contribution to each may vary, but having substantial savings will set you up for major purchases later in life.

Budgeting is an essential skill. You can use a budget finance app if you need assistance, but remember to factor in every possible expense to avoid tight situations.

This article originally appeared on Earnin.

Please note, the material collected in this blog is for informational purposes only and is not intended to be relied upon as or construed as advice regarding any specific circumstances. Nor is it an endorsement of any organization or Services.

 

Fraud Alert!

It is becoming big business to take a purchased recording of a previously offered webinar and then pass it off as a live event and accept registrations. The more popular and accomplished the speaker the more often this occurs.  I have now been elected to this club of speakers whose webinars are being fraudulently presented.  To combat this I have set up a fraud alert page on my website listing those companies who are offering a webinar by me that I recorded for another company and passing it off as their own.  As I find these webinars I will blast out the names as well as add them on my website.  This, I hope, will prevent any of my social media followers from being ripped off.

So far the following companies have been listed as fraudulent:

  • Compliance World (website spelled ccomplainceworld.com)
  • Seminargrasp
  • Yatharthguru
  • Webaudiotrainers

Today I am adding 24x7conference.com.  They are advertising a year end webinar presented by me on November 17, 2020.  I have no such webinar scheduled on that date for any of my vendors.

If you are unsure of a webinar please email me to confirm before registering.

 

FRAUD ALERT!

I have webinar companies who are stealing my webinars and presenting them as if I were doing it live.  I want my blog followers to be aware of this so they don’t get ripped off.  The latest is ComplainceWorld (that’s how they spell it).  They are advertising a live  6-hour boot camp with me as the instructor on July 1st. I do not work with this company and I am not leading this webinar.  I only found out about it via a spam email I received.  Please do not use this company for your training needs!  One of the other speakers they list has also never heard of them and his webinar was also stolen.  If you see a webinar with my name on it, feel free to contact me via my email, vicki@thepayrolladvisor.com to confirm it is genuine.  I don’t want any of my followers to get ripped off.

The Most Common Mistakes People Make With Payroll and How to Avoid Them on a Global Scale

I have a guest blogger today who is addressing general issues for a global payroll.  I thought you would find it very informative. It is submitted by Lingappa Amiyappa, General Manager–Payroll Operations, Paybooks Technologies India Pvt. Ltd. Their website is www.paybooks.in. 

Every business which has employees must have a process in place to handle payroll, deductions, paying taxes to the state and central government, on time. The payroll process must work like a well-oiled engine – it is one of the most under-appreciated aspects of running a business but the most important. Not to mention that when mistakes happen, then the impact on a business can be bad.

The good thing is that most of the common errors which crop up during processing can be avoided by planning well, getting the right tools, and hiring the right people for the job. Training on an ongoing basis will also help payroll specialists keep up with the changes in the tax structure, learn how to catch mistakes early, avoid or fix them as needed.

That said, here is a look at some of the common payroll mistakes and how to avoid them.

  1. Incomplete records: This is one of the major reasons for mistakes in payroll. Though the requirements vary from country to country, employers are required to maintain employee records for multiple years. These should include hours worked, rate of payment, date of disbursement, etc. Having incomplete and less information like misspelt names, wrong ID numbers, etc. can result in penalties as it takes many man-hours to fix these problems.
  2. Incorrect employee classification: With more temporary employees, contractors, and consultants becoming part of the workforce, it is essential for a company to keep proper records. Proper classification makes it easier to send out paychecks as well as determine tax reporting.
  3. Missed deadlines: Since payroll activity is carried out regularly, it is essential that the payroll team marks the calendar for reporting deposits and paying payroll taxes to the central and state governments on time.
  4. Tax-related forms not sent: All employees, especially contractors must receive Form 16s every quarter so that they can file their tax returns. In the process of trying to do payroll and send out information, payroll teams have missed sending these forms out.
  5. Wrong calculations on overtime payments: Companies have guidelines in place on determining overtime pay. If it is not calculated properly, then it can cause problems and unhappy employees. This can happen if the employee classification is wrong. In some cases, the employees don’t get the overtime payment they are entitled to.
  6. Overdependence on software: There are excellent software products which are used to do payroll activities. As always, results depend on the person putting in the information. In the process of trying to do things quickly, some information gets left out and subsequent calculations are incorrect. The software can prompt the user for information, but this may not always be the case.
  7. Unsaved payroll records: Even though requirements vary from state to state, every company should save payroll records for a minimum of 5 to 6 years.
  8. Lack of confidentiality: Payroll teams should not share private and sensitive information with other employees as this can cause disagreements. Only senior managers and people in the payroll department can have access to this information.
  9. Inadequate personnel: Payroll teams should have enough people to carry out related tasks. When there is just one person to do the job and he/she falls sick, the work comes to a stop and causes delays. Not just that, it is always sensible to have back-up systems which can be used in case of computer failure.

 Tips on avoiding errors while doing payroll

 There are many things a payroll processor can do to avoid the errors listed above. Including the following tips into the payroll process will help you note and avoid errors before they creep in. A little care and attention go a long way in making the process fast, accurate and easy.

  • Getting the right tools – Don’t want payroll mistakes disrupting your company and employees? Do some research and find the right payroll and HRIS packages. These must be integrated so that the HRIS manages vital employee information like ID numbers, bank account numbers, wages, hours worked, deductions etc. and these can be used by the payroll system every month to pay wages/salaries. Payroll systems, when synced with the HRIS, will automate tedious tasks. Payroll software does critical tasks such as file taxes, distribute paychecks, automate leaves, etc.
  • Stay current on information – Many payroll errors occur because payroll processors don’t have enough or the most updated information. As laws and tax codes change frequently, it is important for them to stay updated. This is even more important if the organization has a global presence. Requiring payroll admins to do regular checks on employee status and other information can reduce error rate drastically.
  • Analyzing Reports – Payroll software have a reports feature and generating one before sending out paychecks can cut down on mistakes. Getting the following reports will reduce error rate – deductions, payroll register and company’s cash requirements.

If payroll with errors has already been processed, fix it by reporting the error to the tax authorities. Your company may have to pay penalties, but it could get worse if the problem is not fixed. In case of minor errors, you could do one or all of the following:

  • Cancel the current payroll and reissue once updates are done
  • Run payroll manually in addition and adjust only for those employees whose payroll has errors
  • Ensure that corrections have been made so that they don’t occur in the next payroll cycle

Summary

Once payroll errors have been noticed, figuring out where they are and fixing them will ensure a smooth process every pay period. Processing payroll is not the easiest job considering the number of things that must be correct. Incorrect or late payroll can have a big effect on employee morale, so it is important to do it right every time.

Warning: Once Again Payroll Professionals are Being Targeted by Scams

 The Internal Revenue Service and its Security Summit partners have once again warned payroll professionals of an uptick in phishing emails targeting them that this time involve payroll direct deposit and wire transfer scams.

 These business email compromise/business email spoofing (BEC/BES) tactics generally target all types of industry and employers. The IRS and the Summit partners, consisting of state revenue departments and tax community partners, are concerned these scams – a well as the Form W-2 scam — could increase as the 2019 tax season approaches.

These emails generally impersonate a company employee, often an executive, and are sent to payroll or human resources personnel. The email from the “employee” asks the payroll or human resource staff to change his or her direct deposit for payroll purposes.The “employee” provides a new bank account and routing number, but it is, in reality, controlled by the thief. Most of the time this scam is usually discovered quickly, but not before the victim has lost one or two payroll deposits.

As a reminder, we have discussed in a previous blog, there is another version of the BEC/BES scam, the emails impersonate a company executive and are sent to the company employee responsible for wire transfers. The email requests that a wire transfer be made to a specific account that is controlled by the thief. Companies that fall victim to this scam can lose tens of thousands of dollars.

 A common theme in these and many other email scams is that they include grammatical and spelling mistakes.

The IRS has provided an example of one such email (edited by IRS) that is displayed at the top of this blog.

Payroll/Tax professionals and others should also report tax-related phishing emails to phishing@irs.gov. This account is monitored by IRS cybersecurity professionals.This reporting process also enables the IRS and Security Summit partners to identify trends and issue warnings. Because of the dangers to tax administration posed by the Form W-2 scam, the IRS set up a reporting process for employers. Employers who fall victim to the W-2 scam should report it at dataloss@irs.gov. There is a process employers can follow at Form W-2/SSN Data Theft: Information for Businesses and Payroll Service Providers. Employers who receive the W-2 scam email but do not fall victim should forward the email to phishing@irs.gov.

Keeping Remote Freelance Workers Accountable

We have another guest blogger with some great info for you.  Hope you enjoy it.

As attested by Pew Research self-named Generation Y (those born during the 1980s and early 90s) have eclipsed previous generations in regards to workforce involvement. In fact, according to a recent survey  a vast majority of millennials feel that “flexibility and ambition” are closely associated. With 78% of this group more likely to have a full-time spouse/partner working, there’s little surprise that workplace formulation has made a tremendous shift. The upshot is telecommuting. Actually, businesses today are no longer put-off by home based work requests and frequently include work-at-home proposals in HR recruitment plans.

The increase in millennial contemporaries has introduced massive modifications in the way companies manage their staff due to remote employment. The millennial workforce is expanding, proficient, and au fait with the demands of today’s global economies.

The concept of remote workers continues to be an anomaly of sorts, as more convenient options of generating income has yet to sink into the psyche of the masses. To many individuals, the traditional way of working is the only viable means of employment. Questions like, how people get paid, how companies account for workers, and is it serious work are common. Unfortunately, short-sighted suppositions prevent many who could benefit from remote work the opportunity to take advantage of it.

Organization Advantages and Accountability

Consequently, a long-term sophisticated system must be established to consolidate the undertaking and oddities of the digital workforce, as telecommuting is now accepted as the adopted workforce for both large and small companies. As a result, many corporations have devised means of cutting costs in the current world of financial dubiety with access to a worldwide top-notch labor force.

Outsourcing is mutually beneficial for both companies and their remote staff. For example, individuals with physical limitations are able to find work while companies increase production, downsize office space and save on office equipment.

Nevertheless, making remote workers accountable is a sticking point for many corporations. What strategies and blueprints are foolproof enough to ensure that telecommuters are actually on-the-job and not sipping tea while watching the latest reality show?

Keeping Remote Workers Accountable

HR managers, CEOs, and IT folk at both large and small businesses, are hard-pressed to discover a way of guaranteeing that their employed remote workers are actually working. It’s much like maintaining a long distance relationship without the romanticism. What it comes down to is implementing a superb software program. Here are three suggestions on how to keep remote workers accountable.

  1. Consolidate Correspondence

Dissimilar to staff working in an office, remote staff may experience delays in correspondence due to a lack of face-to-face interaction. To clarify the situation, companies should consider arranging several specific communication techniques that coordinate with a virtual program for work at home employees. For instance, some businesses use social computer networks or employee apps like Blink or VeryConnect. These types of networks allow virtual staff to stay connected to other telecommuters who may offer assistance and management throughout the working day.

Another solution for communication issues include using Skype or Google Hangout in case of inaccuracies via chat or email. Of course, the good ole’ 19th century invention called the telephone is still viable in its 21st century incarnation known as a smartphone.

  1. Highlight Clarity

Remote teams require a sophisticated level of management and transparency across every  line of work. In light of this, it is crucial to employ a system that allows access to a telecommuter’s tasks, work hours, pay arrangement (for instance by the hour or by each task), etc. Software systems like Time Doctor offers everything from time tracking and screen shots to web usage, payroll, reporting and more. This type of software tracking system helps employers keep remote workers viable and accountable.

Businesses must keep track of telecommuters working hours and additional vital information to make sure all is aboveboard; therefore, the correct software set-up is vital for companies and their teleworking staff. In addition, companies must make modifications and incorporate accountability into the workflow. Well-organized coordination between employers and remote workers substantially increases productivity according to Remote.Co.

  1. Planning Ahead

Working virtually is not exempt from stumbling blocks. In spite of that, there are a number of reliable methods to contend with the most frequent problems. For example, what if an employee has unreliable Internet? The best solution is to make certain that a potential team member has a stable connection before hiring them. In fact, a secure Internet connection should be a priority for remote workers. In case something does happen, a telecommuter should have access to a Wi-Fi hot-spot nearby. If not, stopping by the office is another option if it’s close by. Doing something is better than doing nothing and letting technical problems get in the way of a day’s work.

In essence, it’s about using common sense ways and means to anticipate difficulties that might arise from using remote workers and making provisions for them.

 Vaishali Badgujar is a digital marketer at Time Doctor, a SaaS time tracking & productivity tool for companies & freelancers. She is an inbound marketing expert & specializes in link building. 

Guest Blogger: Productivity Back on Track: 5 Time Tracking Productivity Benefits

As summer is coming to a close we have one more guest blogger for you with some great information on productivity.  I hope you enjoy this blog from Dean Mathews of OnTheClock.

As a payroll manager, tracking workplace productivity is more than a default part of your job description.

As the main custodian of data regarding the number of hours employees spend working, there’s a wealth of insight you can provide to unlock potential productivity improvements in your organization.

However, this is only possible if your workplace is equipped with a good time tracking system.

You might be wondering, “Well, we do use timesheets?” While there is nothing intrinsically wrong with this time tracking method, traditional timesheets are not as fool-proof as the sophisticated time tracking software available today.

In fact, research published in Harvard Business Review revealed that the majority of employees are inaccurately filling out their timesheets. This is costing the US economy $7.4 billion in lost productivity every day in the service sector alone.

Productivity is a shared interest between the company and its employees. As part of the payroll department, the following 5 benefits can be cited to rally your organization to use automated time tracking:

  1. Minimizes Multitasking

You might be staring at your screen right now confused.

Isn’t multitasking a productivity booster? So much so that it’s a skill a lot of businesses value.

Turns out that this is a big misconception.

Scientists have found that multitasking is a huge productivity downer, and can rob an employee up to 40% of his/her productive time. According to the research: “Psychologists who study what happens to cognition (mental processes) when people try to perform more than one task at a time have found that the mind and brain were not designed for heavy-duty multitasking. Psychologists tend to liken the job to choreography or air-traffic control, noting that in these operations, as in others, mental overload can result in catastrophe.”

With time tracking, employees must focus on the one task that is currently being tracked. This reduces what is called context switching and allows employees to focus their mental energy on the task at hand, producing better quality work.

It also allows project managers to see which employees engage in multitasking so the proper guidance and coaching can be provided to help them focus on one task at a time.

  1. Reduces Time On Non-Essential Tasks

Email is an essential business communication tool, but it is also a productivity blackhole.

An average office worker receives approximately 200 emails per day and spends 2.5 hours clearing out their inbox. Out of these 200 emails, 144 are not related to them and they were just CC-ed or BCC-ed in the conversation.

Email is just one of the non-essential tasks that is taking time away from more important projects. This does not even take into account the time spent on non-work related tasks such as social media browsing. What’s worse, as a payroll manager you know money is going down the drain paying employees for time spent on tasks that cannot be billed to your clients or customers.

With a well-established time tracking software, an organization can identify these productivity leaks and implement measures to reduce or eliminate them. This improves employee morale by reducing stress. At the same time, it saves the company money.

  1. Ensures Accurate Salary Computation

An unhappy employee is an unproductive employee. One of the major things that decreases morale for employees is not being accurately compensated.

This creates a cloud of distrust in the organization. Employees feel they are being cheated on and not getting the remuneration they deserve. This may result in a backlash in the form of low-quality work derailing important projects.

Of course, there are some unscrupulous businesses who intentionally shortchange their employees, but most payroll inaccuracies are a result of inaccurate time tracking.

Having a time tracking system in place eliminates inaccuracies in payroll because hours are easily and automatically tracked. There’s also a record, employees can refer to when payroll questions arise.

  1. Identifies Overworked Employees

All work and no play makes employees unproductive.

Putting in extended, and sometimes exhaustive, hours at work for a long period of time is a proven productivity killer. It can snowball into other problems such as habitual absences or tardiness, low employee morale, high attrition rates, and client/customer dissatisfaction.

The sad news is many managers do not catch these signs early enough, primarily due to poor time tracking practices.

Employees who are paid by the hour might not mind putting in the extra hours because they are getting paid for their billable hours. However, working overtime can cause serious issues with salaried, flat-rate employees.

While employee wellness is not the main responsibility of a payroll manager, a practical time tracking system can offer useful data to identify those employees in jeopardy of burning themselves out.

  1. Improves Project Planning Practices

Time tracking reveals discrepancies in time estimates between the projections during project planning and the actual hours spent during the project execution. The benefit this has on productivity is three-pronged.

First, it allows project managers to improve their forecasting for future similar projects.

Second, it prevents employee burnout as discussed above. There’s no need to put in extended hours to meet project deadlines if it’s not really necessary.

Lastly, it allows the organization to charge more appropriately via accurate accounting for the necessary man-hours to complete a project.

It’s Time to Be More Productive

Just a quick caveat. In order for any time tracking system to improve workplace productivity, making productivity a key priority should already be in the DNA of your organization’s culture. You should already know the core principles of good time management. Otherwise, you’re just going to waste time, tracking wasted time, right?

That said, time tracking has been proven time and again to increase productivity. Following the old business adage that you cannot manage and improve what you don’t track and measure, time tracking can open new heights of productivity that you never thought was possible. It also benefits your employees by minimizing multitasking and reducing time spent on non-essential tasks.

Indeed, it is time to put your workplace back on track.

Author Bio

Dean Mathews is the founder and CEO of OnTheClock, an online time clock app that helps over 8000 businesses all around the world track their employee time. Dean has over 20 years of experience designing and developing web-based business apps. He views software development as a form of art. If the artist creates a masterpiece, many peoples lives are touched and changed for the better. When he is not perfecting time tracking, Dean enjoys expanding his faith, spending time with family, friends and finding ways to make the world just a little better. You can find Dean on LinkedIn.

4 Ways Payroll Can Boost Employee Satisfaction

During the summer months I take a break from blogging but love it when I have guest bloggers who can provide my followers with interesting information. Today’s guest blogger has some great insight as to how payroll can help employee satisfaction.  Take a read from Sam at Https://indextimeclock.com

How many smiles greet you each morning when you enter the office? Can you honestly say your employees are satisfied and happy to come to work?

Of course everyone would rather be at home relaxing but good management can lead to a high level of employee satisfaction which makes for a smiling team that’s also highly productive. That’s a win for everyone.

But how do you get there?

What Determines Employee Satisfaction?

Will you be surprised to know in many studies compensation rates as the number factor in workers’ satisfaction with their jobs? So you can already see that your payroll department plays a vital role in getting this right. If no salaries are paid you definitely won’t see any smiles around you.

Of course this is a complex situation so there are many factors at play which you have to manage:

  • Being appreciated for work delivered
  • Relationships at the office
  • How the company fares financially (everyone wants to be proud of where they work)
  • Personal development
  • How interesting the work is
  • Feeling safe at work
  • Company values workers can be proud of

But why should you concern yourself with this? Because you don’t want to take the risk of having a high employee turn over rate. When you lose employees to other companies where they do find what they’re looking for you’re risking:

  • High costs to train new employees
  • Struggling to get the quality workers you need to grow your business
  • Gaining a reputation as a company no one wants to work for

But perhaps you’ve tried working on these aspects in your office but they don’t seem to stick. Are you sure you’re working with the root of the problem? Few businesses realize how much the payroll department in your business can affect your employees’ overall experience of their work days.

So let’s help you gauge whether payroll is helping or hindering your business. We’ll also tell you how to get it right from now on.

How Can Payroll Help?

Does Your System Put Them First?

What do you do when you respect someone? Usually it motivates you to put their wishes before your own. At the very least you’ll consider how your actions affect them. How often do you do this with your employees?

A late or wrong salary payment may seem trivial to you but for someone with bills to pay it can turn an ordinary day into a disaster. When you use state of the art payroll systems that rely more on AI and automated features than manual work you’ll see fewer salary glitches.

While you’re showing respect you also prevent a problem. When there are fewer disputes in the office you’ll see relationships will be healthier which will automatically make your group more excited to get to work each day.

Of course new technology requires a monetary investment from your side but this one decision will signal to employees that you have their best interests at heart. That will create loyalty from their side so this benefits you in the long run too.

Do They Feel Appreciated?

This one rates high on the list of factors you need to manage. And saying thank you at the end of each day won’t suffice.

Have you considered some of these tactics?

  • Personal discussions with employees regarding their work, performance reports and development in the company. This signals that you take notice of each individual.
  • Identifying how well someone settles in during an onboarding process. Talking about the challenges someone experiences and mentioning the value he or she already added will keep someone motivated.
  • Suggest personal development options such as training or skills courses. This could be an incentive or a reward for someone who delivers exceptional work.
  • Bonuses paid to individuals who reached certain sales goals.
  • When someone goes through a troubling time you can show compassion and provide some time off. This isn’t something people should take advantage of and your decision should be based on the value the individual provided before the problem came about.

Can you see how many of these processes involve your HR and payroll department? But the only way to keep track of all this information is with state of the art HR management and payroll programs. Digitizing employee files and creating reminders for setting up performance appraisals will ensure you don’t forget a step in the process of looking after employees..

Can You Pay Them More?

Of course all employees want to be paid more. You can’t always give them the salaries they dream of but while everyone gets busy with other tasks it’s the payroll office’s responsibility to ensure salary increases and bonus payments happen according to company policy & promises.

Don’t let this one slip. It sends a message of not caring for your employees which you should prevent at all costs.

Can you help them get it Right?

Many employees are used to being reprimanded for wrong doing. Something that’s not as common is getting help or resources to prevent the mistake in future.

Of course you don’t want to babysit your work force and they should take responsibility for their tasks. But in many situations employees do the best they can and managers should always look for ways to help them be more productive & accurate.

Filling in time sheets is time consuming and on a hectic day it’s probably the last thing your workers have time for. Hastily submitting paperwork often leads to mistakes and it’s understandable that this upsets the HR team & a worker’s manager. But why not make it easier?

Automated procedures with online clock in features such as the products you find on https://advancesystemsinc.com mean your workers don’t have to do any paperwork and all data will be accurate. With fewer misunderstandings and reprimands your workers are bound to feel more content coming to work.

At the same time you’re communicating company values such as accuracy, punctuality and excellence. Help them act according to these traits so they can be proud of what they achieve each day.

Important note: You’re not simply doing this to keep everyone happy. You’ll never again have to pay for work not done and you won’t waste time on salary disputes.

[Conclusion]

Do you see new hope for your company? A healthy—even happy—office environment can be a few adjustments away. Investing time into this outcome will have the long lasting effects you’ve only dreamed of so far. Good luck.

Why Don’t Businesses Embrace Universal Health Care?

Yesterday the California Senate passed SB 562, The Healthy California Act. This bill would create the Healthy California Program to provide comprehensive universal single-payer health care coverage and a healthcare cost control system for the benefit of all residents of the state of California. It would be funded by a combination of employer and employee payroll taxes. Of the 33 developed nations in the world 32 of them have what is known as universal healthcare. The lone exception to this, of course, is the United States. Universal healthcare, however is not defined as government only healthcare, but can include both public and private insurance and medical providers. So if this bill actually passes the assembly and the financial aspects are resolved it would put California on the list of countries with universal healthcare. This would be a very unique situation. One of our states has universal health care but the country does not. But I think the bigger question for this blog is: “why don’t businesses embrace universal health care?”

And I’m not the only one questioning this. Warren Buffett has stated that other countries have gained a five or six point advantage over the United States because of healthcare spending by employers. The National Federation of Independent Business conducted a survey of small business priorities and problems and found that the cost of health insurance is the most severe problem facing American small business today. In fact 52% of small business owners identified it as a critical issue. The Bureau of Labor Statistics (BLS) puts the cost of healthcare in 2016 for employers with more than 500 workers at $4.28 per hour or 9% of the total compensation costs. For employers with 100 to 499 employees the insurance costs are $2.77 per hour worked or 8.5% of total compensation. Now some will say that this cost is due to the Affordable Care Act. But the increase under the Affordable Care Act for employers with more than 500 employees as compared with the cost in 2006 was 1%. For those employers with under 500 employees it was 2.5%. However this statistic does not reflect that many of the employers with under 500 employees did not offer health insurance in 2006. So why do we continue to put this burden on employers and why do they continue to fight to keep it?

Using the 2006 figures so that we do not factor in Obama care, if I were to propose an 8% tax on all employers with over 500 employees there would be riots in the streets. Yet that’s what employers were paying for healthcare. So if we were to take this 8% as a payment from each employer and add in the cost the employee paid could this be the beginning of universal healthcare for the United States. Think about it for a minute. Employers would no longer need to contact insurance companies, negotiate costs, and have someone in the company to oversee the program (an additional cost of a salary) nor have someone in Accounts Payable pay the bill. Would it have to be a federal program? Most countries that have universal healthcare have a combination of national and municipalities handling the programs. The tax would be on the federal level but the healthcare itself is provided on the local level since those are the ones that usually understand what the community requirements are.

Would this help us become more competitive in the world?  Would it help employers become more financially solvent?  Would it get health care for all the citizens of the United States?  The answers to those questions, of course, remained unanswered as of today.  But unless we begin to look into shifting the costs of health care away from employers we will never know.

 

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