A Complete Guide on How to Do Employee Payments
Every employee who works for you must be given his or her wages or salaries since this is their right. It is good that you be aware of various methods that you can use while you are paying your employees. It is advisable that you get an accountant that can help you learn more to prepare a payroll so that you will be in a position to pay the right amount as you deduct all the deductions that are needed. When your employees are paid using the right methods they will also be keen on this company that they are working for which will help to reach your business objectives.
Do direct deposit. This method involves withdrawing the money and then you pay your employees to their accounts. When you pay your staff directly from your account, you will always pay the amount that is needed to the employees and that is good for the sake of peace in your company. Complaints are not good for they waste a lot of time and also trust which can ruin your company.
You can also pay your employees through a cheque. An alternative method of paying salaries is by giving employees cheque. Even though this method is used, it has some setbacks such that as an employer you might risk losing the cheque as you take the cheque to the employee. Here, it could be a very good method of making payments for the companies that want to have their accounts updated since the employees may stay for a long time without depositing their cheques and this is not something that you can force.
Cash payment is also another way to pay your staff. In the event that you are paying fewer people, it could be a good method but not advisable when they are many. There is some money that is supposed to be subtracted from the gross salary of the employee and hence when using cash method to pay those deductions won’t be captured and that is the reason the law doesn’t encourage this payment method. It is important to be very careful with every method you use while paying your staff because you would love to use the method that will not fail you.
You can use different methods to pay different employees depending on their terms of employment since there are some who are paid weekly, others hourly, others are paid after hours so there are some methods that will fit some workers while other won’t.