A pay stub is a document showing employees paid wages before and after tax is deducted. Whatever method of payment you use for your employees, you can find may pay stub options online that will help you comply with your state laws if they require employers to provide pay stubs.
In a pay stub, basic data fields are included that allows you to document your earnings and deductions. Items can be left blank or deleted from a pay stub template if you don’t use them. Employees can actually manage their account information online or through a mobile app so that they can print their own payroll reports.
State law dictates what is to be included in a pay stub. When there are disputes or audits, pay stub will prove that you have been paid your salary at a certain period of time. You should include all the items that your state requires in your pay stub.
Pay stub templates include useful information such as the number of hours worked during the pay period, year-to-date balances and paid time off taken. Sometimes they include specific descriptions on the purpose of pre and post-tax deductions like medical insurance, commuter benefits, life insurance, or uniform fees.
The blanks in a pay stub template are easy to fill in. Filling these blanks will assure you that you are documenting your employees’ gross earnings, deductions, and net pay correctly. There are many different kinds of pay stub templates that you can use for free from many websites.
You can also find pay stub generators online where you can input your pay stub data manually. There are many websites today that offer free trials and others allow you to choose your own professional looking template that cost a few dollars to use.
Payroll information should be retained for three years as required by the DOL but they don’t require pay stub retention. Tax documentation should be retained for four years as required by the IRS and six years for some states. You can go to this page for the best payroll services or read more details.
Many starting business do not use payroll services but pay their employees with checks or cash. If you are an employers, then you should see to it that you document the payments that you have given to your employees including taxes and deductions. Pay stubs also help you meet requirements of the DOL to retain payroll documentation even though your state does not require you to give employees pay stubs.
Using a payroll service can help you fulfill the requirements of your state to provide pay stubs to your employees. You can also use payroll software so that it will be the one to calculate and file payroll taxes and pay your employees through direct deposit or printed checks. With it, your employees can also print their own payroll reports and pay stubs. Continue reading more on this here: https://www.huffpost.com/entry/how-to-handle-employee-pa_b_11914184.
