As a single person entity, my advice is stand alone software + learning. Nothing is scott free, well except for illegal software but seriously, a one time outlay for Quickbooks is not that big a deal. There isn't much reason to commit to monthly fees and a supscription service, when it's perfectly doable by yourself if things are basic. Learning exactly what you need to do--while perhaps taking some reading or instruction in the beginning--isn't that difficult, and once you get it down, you're good to go, and it will serve you *very well* in the future to have a greater understanding of what's going on.
Then again, in my city, I've seen Quickbooks certified people working for $12 an hour lately, so maybe $25 a month to do nothing is a good deal for ya :^)
If you do not want to spend money on payroll software, here is an article on how calculate federal tax step by step yourself.
You may also find free income tax calculators online if you google them. However, I do not suggest you use free payroll software because you should always use the current tax tables and forms.
Payroll software can save you time and money. I would like to suggest you download several payroll software (Maybe 3 software in different price range) and try them first. Many payroll software can also help you prepare tax forms such 941, 940, w3 and w2.
Each company is unique. The software you feel comportable is the best one.
There is a lot of places to get help with payroll. Determining which is best for you will depend on the size of your company. Keeping costs low is important, but you also want this process to be streamlined. There are many Indianapolis payroll solutions to consider. I would do the research and find the type of set-up and cost you are looking for. This will also lay the ground work if you expand in the future.
You should be able to find a virtual bookkeeper that can do your payroll for you as a 1-person office extremely reasonably. For that matter, as a virtual bookkeeper I provide full bookkeeping services (a/p, a/r, invoicing, bank and credit card reconciliations, payroll) to a small business for under $250/month.
While you certainly need to understand your tax responsibilities, wouldn’t you rather invest more time taking care of, attracting and retaining customers and less time worrying about keeping up with all the nuances of payroll taxes?
With the software available, you can do payroll yourself, but to ensure compliance you might want to outsource the administrative burden to a small business payroll service. By working with an expert service, you reduce compliance exposure and are able to devote your time to more profitable marketing and business building activities.
Outsourcing reduces the complexity and risk of running your own payroll, while helping ensure greater accuracy, with up-to-date tax rates and regulatory information that can be lacking in a software solution.
Payroll services may include:
Compliance with government regulations
On-site or Online Management Options
Additional human resource services
There are several services out there, and you can go local or national. Just make sure you are working with a company who really follows the tax laws for, and understands the needs of a solo entrepreneur. If you go national, make sure they have a local branch for personal contact.
Paychex is a long established brand, specializing in and trusted by over 500,000 small businesses. You can get a customized quote at 888-924-1776. (Last time I checked they were offering the first 30 days free.)
For the peace of mind with the opportunity to spend more time running your business, it’s easy to see why over 85 percent of CPAs recommend that small businesses partner with a professional payroll provider.
Hope you find this helpful - best of luck in your business!
Payroll services through Bank of America are free if you do direct deposit I believe? I use it for an LLC and for a C-Corp and do not remember any fees unless you get the more advanced features. For simple "PayDay" functionality I believe it is complimentary for business accounts. Someone please correct me if I am mistaken. I find this to be more than enough to track everything, do payroll, create basic reports for tax purposes, etc...
I'm starting a 1 person (me) scorp and want to keep costs down, but I also want to use an easy payroll and tax reminder system that doesn't cost an arm and a leg each month. Is there a software or service you recommend? I have looked at costco services, bank of america's services and quickbooks/intuit options that link to both, but I'm not sure what's worth buying for my 1 person needs. I don't want to spend a load of cash on services or software if I can do it easily and for free somewhere.
Can you help?