3 ms·
Why so? I though all payroll/tax details are outsourced to the accounting firms and very straightforward in fact.
by betaby 6y ago
Why so? I though all payroll/tax details are outsourced to the accounting firms and very straightforward in fact.
- cosmie 6y agoThe payroll taxes can likely be taken care of easily by your payroll provider/accountancy firm, but there's potentially local business licensing requirements[1] you become subject to as well. If you have an office, you generally do all of that based on the location of the office, and the employee's home address doesn't come into play. But if the employee is officially a work from home employee, some states/municipalities treat that as a presence subject to business licensing or permitting requirements with the local authorities, as well as potentially triggering sales tax collection requirements that have to be accounted for within your sales/invoicing processes. [1] https://smallbiztrends.com/2018/04/remote-employee-compliance.html https://smallbiztrends.com/2018/04/remote-employee-complianc...
- ghaff 6y agoMy understanding from people who have done it is that: -- Yes, you can outsource most of the payroll-related headaches to someone like ADP but -- There are still a lot of other state by state details that can't just be handed off to a third party and told "Make it so." It's not a particularly big deal for a larger company, but it can be a fair bit of overhead for a small employer adding a new remote employee in a state with lots of paperwork.